Section 8 Fair Market Rent (FMR) for ZIP 01570 - 2027

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

Investment Score for ZIP 01570

F
Monthly Rent (2BR)
$1,860
Median Price (2BR)
$401,650
1% Rule
0.46%
Annual Yield
5.56%

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$1,430
1 Bedroom$1,440
2 Bedrooms$1,860
3 Bedrooms$2,300
4 Bedrooms$2,550
5 Bedrooms$2,958
6 Bedrooms$3,313
7 Bedrooms$3,578
8 Bedrooms$3,757

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
2BR $1,860 $401,650 0.46% F
3BR $2,300 $440,685 0.52% F
4BR $2,550 $511,374 0.5% F
5BR $2,958 $578,724 0.51% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
17,748
Median Household Income
$72,895
Housing Units
8,229
Renter Percentage
40.2%
Occupancy Rate
93.3%
Renter Occupied
3,085

The ZIP code 01570, located in Webster, MA within the Worcester County HUD Metro FMR Area, presents a unique opportunity for Section 8 investors. The HUD Fair Market Rent (FMR) for the area is set at $1,480 for the fiscal year 2024, while the Zillow Observed Rent Index (ZORI) indicates that the average market rent is $1,724. This means that landlords accepting Section 8 vouchers will experience marginal cash flow, with a difference of approximately $244 per unit compared to market rates.

The median home value in ZIP 01570 stands at $436,685. When considering the rent-to-price ratio, it becomes evident that the area offers a reasonable investment potential. With a rent of $1,480 and a median home value of $436,685, the annualized rent-to-price ratio is roughly 4.2%, which is favorable for long-term investment strategies.

Although the data does not provide specific figures for the median days on market (DOM) or the percentage of price cuts, these metrics are crucial for understanding the rent-versus-buy dynamics in the area. Typically, lower DOM and fewer price cuts indicate a strong rental market where landlords can maintain higher occupancy rates and potentially achieve better cash flow over time.

The strongest angle for Section 8 investors in ZIP 01570 is stability. The consistent demand for affordable housing and the marginal cash flow offer a reliable investment opportunity. While appreciation may be moderate, the predictability of Section 8 vouchers ensures steady income, making it an attractive option for those seeking long-term, stable returns.

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.