Section 8 Fair Market Rent (FMR) for ZIP 01520 - 2027

Location: Worcester, MA | Metro: Worcester, MA HUD Metro FMR Area

Investment Score for ZIP 01520

F
Monthly Rent (2BR)
$2,430
Median Price (2BR)
$437,509
1% Rule
0.56%
Annual Yield
6.67%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,880
1 Bedroom$1,890
2 Bedrooms$2,430
3 Bedrooms$3,040
4 Bedrooms$3,470
5 Bedrooms$4,025
6 Bedrooms$4,508
7 Bedrooms$4,869
8 Bedrooms$5,112

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $1,890 $344,686 0.55% F
2BR $2,430 $437,509 0.56% F
3BR $3,040 $524,400 0.58% F
4BR $3,470 $710,378 0.49% F
5BR $4,025 $786,753 0.51% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
16,912
Median Household Income
$148,125
Housing Units
6,008
Renter Percentage
13.7%
Occupancy Rate
99.5%
Renter Occupied
821

ZIP code 01520, located in Holden, MA, falls within the broader Worcester, MA HUD Metro FMR Area. Its Fair Market Rent (FMR) for FY 2024 is set at $1,930, which is higher than the area's median market rent of $1,775. This suggests that 01520 is slightly more expensive in terms of rental costs compared to the average ZIP code in the metro area.

The median home value in 01520 is $554,990, which is also above the typical range for homes within the Worcester, MA HUD Metro FMR Area. Given this data, 01520 can be considered a premium sub-market within the metro area, characterized by higher-than-average property values and rents.

However, the renter share in 01520 stands at 13.7%. This figure is relatively low compared to what might be expected in a premium sub-market. Typically, areas with higher renter shares indicate a greater demand for rental properties, which could suggest a potential value pocket for landlords. In contrast, 01520 has a smaller proportion of renters, which may limit the number of tenants interested in Section 8 housing.

To summarize, while 01520 boasts premium pricing characteristics, the lower renter share indicates it is not a sweet spot for Section 8 investments. The higher FMR and market rent figures signal a more upscale rental environment, but the limited number of renters suggests a niche market rather than a broad opportunity for landlords seeking to capitalize on Section 8 subsidies.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).

About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.