Location: Boston-Cambridge-Quincy, MA | Metro: Boston-Cambridge-Quincy, MA-NH HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,380 |
| 1 Bedroom | $2,460 |
| 2 Bedrooms | $2,940 |
| 3 Bedrooms | $3,500 |
| 4 Bedrooms | $3,860 |
| 5 Bedrooms | $4,478 |
| 6 Bedrooms | $5,015 |
| 7 Bedrooms | $5,416 |
| 8 Bedrooms | $5,687 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,940 | $776,830 | 0.38% | F |
| 3BR | $3,500 | $911,344 | 0.38% | F |
| 4BR | $3,860 | $1,332,669 | 0.29% | F |
| 5BR | $4,478 | $1,851,224 | 0.24% | F |
U.S. Census Bureau data (2024)
The potential pitfalls of investing in Section 8 housing in ZIP code 02061, Norwell, MA, begin with tenant turnover. At a market rent of $2,215, compared to the Federal Market Rent (FMR) of $3,000 for FY 2024, landlords might face challenges in attracting tenants who qualify for vouchers, leading to higher turnover rates. This discrepancy can result in frequent changes in occupancy, which can be costly and time-consuming for property management.
Vacancy exposure is another concern. The Days on Market (DOM) figure is not available, indicating that it might be challenging to gauge how quickly properties are rented out in this area. High DOM can lead to extended periods of vacancy, reducing rental income and increasing the financial burden on the landlord.
Deferred maintenance is also a significant risk. With a typical home value of $1,043,468 and a median household income of $188,699, there is a considerable gap between property values and incomes. This disparity suggests that residents might struggle to afford necessary repairs and maintenance, potentially leaving landlords responsible for these costs. The financial strain of maintaining properties without adequate support from tenants can be substantial.
However, these risks are offset by the high concentration of renters in Norwell. An 8.4% renter share indicates a robust demand for rental properties, particularly those that accept Section 8 vouchers. This high density of renters often translates into a greater number of voucher holders seeking affordable housing options, thus providing a steady stream of qualified applicants.
Verdict: Moderate risk for a first-time Section 8 landlord.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.