Section 8 Fair Market Rent (FMR) for ZIP 01752 - 2027

Investment Score for ZIP 01752

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	$2,150
1 Bedroom	$2,230
2 Bedrooms	$2,650
3 Bedrooms	$3,180
4 Bedrooms	$3,510
5 Bedrooms	$4,072
6 Bedrooms	$4,561
7 Bedrooms	$4,926
8 Bedrooms	$5,172

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	$2,230	$230,364	0.97%	C
2BR	$2,650	$422,028	0.63%	D
3BR	$3,180	$575,329	0.55%	F
4BR	$3,510	$805,456	0.44%	F
5BR	$4,072	$836,632	0.49%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 01752 (Marlborough, MA) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) figures for ZIP code 01752 in Marlborough, Massachusetts, indicate that the maximum rental assistance for a two-bedroom unit is set at $2,560 per month. This figure represents 33.4% of the median household income in the area, which stands at $91,968. However, it is important to note that the actual rental market in Marlborough is significantly higher than the FMR. For instance, the Zillow median price for a two-bedroom home is $422,509, which translates into a monthly rent of approximately $3,521 based on typical mortgage calculations. The price-to-FMR ratio for a two-bedroom unit is 13.8x, indicating that actual rents are far above the FMR. This disparity creates significant constraints for voucher holders. They may struggle to find landlords willing to accept the lower FMR rates, especially for units that are priced much higher in the open market. Consequently, voucher holders often face limited housing options and may have to settle for properties that do not meet their needs or preferences. #### Affordability & Renter Profile Marlborough has a relatively high occupancy rate of 96.6%, suggesting that the housing market is tight and there is little excess supply. With 44.0% of the population renting, the demand for rental properties is substantial. However, the median household income of $91,968 is not sufficient to cover the actual rental costs without financial strain. Given that the FMR for a two-bedroom unit is only $2,560, which is just 33.4% of the median income, many renters would need to spend a large portion of their income on housing if they were to pay the actual market rates. This tight market makes it challenging for low-income renters to find affordable housing. The gap between the FMR and the actual market rates means that many renters might be forced to seek out less desirable or lower-quality units to stay within their budget. Additionally, the high price-to-FMR ratio indicates that the market is not particularly favorable for low-income renters who rely on vouchers. #### Investor Angle From an investor perspective, the ZIP code 01752 presents both opportunities and challenges. While the actual rental market is robust, with median prices well above the FMR, the potential for cash flow is limited when considering Section 8 properties. To determine if this ZIP code is cash-flow positive at FMR, we must consider the typical operating expenses and mortgage payments associated with rental properties. Assuming a two-bedroom property priced at $422,509, a standard mortgage payment might be around $3,521 per month (based on a 4.5% interest rate over 30 years). Operating expenses such as maintenance, insurance, and property taxes could add another $500-$1,000 per month. Therefore, the total monthly cost for an investor could range from $4,021 to $4,521. If the investor relies solely on the FMR of $2,560, the property would not generate positive cash flow. In fact, the shortfall would be between $1,461 and $1,961 per month. Given these figures, the investment grade for Section 8-focused investors in ZIP code 01752 would be considered low. The primary challenge is the significant difference between the FMR and the actual market rent, making it difficult to attract tenants who can afford the higher market rates while still maintaining profitability for the investor. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Investors should consider focusing on smaller units such as one-bedroom or studio apartments, where the FMR is lower ($2,160 and $2,040 respectively). These units may be more attractive to voucher holders and could potentially generate better cash flow due to the lower initial investment required compared to larger units. 2. **Seek Out Affordable Neighborhoods Within Marlborough**: While the overall market in Marlborough is expensive, there may be pockets within the ZIP code where rental prices are closer to the FMR. Investors should conduct thorough neighborhood analyses to identify areas with more affordable rental prices. 3. **Consider Non-Section 8 Tenants**: Given the high demand for rental properties and the tight market, investors might want to explore opportunities to attract non-Section 8 tenants who can pay market rates. This could involve offering amenities or services that appeal to a broader range of renters, such as modern appliances, high-speed internet, or on-site laundry facilities. #### Bottom Line Based on the provided data, the recommendation for Section 8-focused investors in ZIP code 01752 is to **skip** this market. The significant gap between the FMR and actual market rents makes it difficult to achieve positive cash flow, and the tight market conditions mean that finding suitable properties for voucher holders will be challenging. Investors looking to focus on Section 8 properties would likely fare better in markets where the FMR is closer to the actual rental prices. However, for investors willing to explore other avenues, Marlborough's strong rental market and high occupancy rate present opportunities to generate solid returns by attracting non-Section 8 tenants.

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.