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 | $2,980 |
| 1 Bedroom | $3,070 |
| 2 Bedrooms | $3,670 |
| 3 Bedrooms | $4,370 |
| 4 Bedrooms | $4,820 |
| 5 Bedrooms | $5,591 |
| 6 Bedrooms | $6,262 |
| 7 Bedrooms | $6,763 |
| 8 Bedrooms | $7,101 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $3,070 | $788,568 | 0.39% | F |
| 2BR | $3,670 | $1,769,945 | 0.21% | F |
| 3BR | $4,370 | $3,831,220 | 0.11% | F |
| 4BR | $4,820 | $6,177,676 | 0.08% | F |
U.S. Census Bureau data (2024)
Suffolk County's ZIP code 02108, located in Boston, MA, stands out due to its unique demographic and economic characteristics. With a population of 3,794 residents, 49.4% of whom are renters, this area has a median household income of $212,928. The median home value in ZIP 02108 is exceptionally high at $1,670,302, reflecting the premium real estate market in this part of Boston.
The voucher economics in ZIP 02108 are noteworthy. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $3,980, significantly higher than the market rent, which is measured by the Zillow Observed Rent Index (ZORI) at $3,136. This disparity indicates that landlords can potentially receive higher rents through Section 8 vouchers compared to the current market rates. However, it also suggests that the demand for subsidized housing may be limited, given the relatively high market rents.
Based on the available data, ZIP 02108 presents a stable environment for landlords and small-portfolio investors. The high median income and median home value suggest a strong economic foundation, while the significant difference between FMR and market rent provides an opportunity for landlords to benefit financially from participating in the Section 8 program. Investors should be aware of the local rental market dynamics and the potential challenges of finding tenants who qualify for such high voucher amounts.
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.