Section 8 Fair Market Rent (FMR) for ZIP 02129 - 2027

Location: Boston-Cambridge-Quincy, MA | Metro: Boston-Cambridge-Quincy, MA-NH HUD Metro FMR Area

Investment Score for ZIP 02129

F
Monthly Rent (2BR)
$3,620
Median Price (2BR)
$964,823
1% Rule
0.38%
Annual Yield
4.5%

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$2,900
1 Bedroom$3,050
2 Bedrooms$3,620
3 Bedrooms$4,340
4 Bedrooms$4,790
5 Bedrooms$5,556
6 Bedrooms$6,223
7 Bedrooms$6,721
8 Bedrooms$7,057

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 $3,050 $625,826 0.49% F
2BR $3,620 $964,823 0.38% F
3BR $4,340 $1,534,510 0.28% F
4BR $4,790 $1,945,581 0.25% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
20,032
Median Household Income
$157,247
Housing Units
10,107
Renter Percentage
49.5%
Occupancy Rate
95.0%
Renter Occupied
4,752

The real estate landscape in ZIP 02129, Boston, MA, is characterized by a median home value of $1,004,680. This figure, coupled with the observation that only 0.1% of listings have seen price reductions, suggests a robust seller's market where pricing power remains firmly in the hands of property owners. The median days on market (DOM) at 11 days indicates swift transactions, reflecting strong demand and minimal inventory.

On the rental side, the Federal Market Rent (FMR) for ZIP 02129 in fiscal year 2024 is set at $3,730, while the current market rent, as measured by ZORI, stands at $3,313. This discrepancy points towards a potential upward trend in rental rates, aligning with the broader economic conditions and housing demand in the area. Landlords can expect rental values to approach the FMR levels as the market adjusts.

For long-term investors, the data imply a steady appreciation thesis rather than rapid growth. The slight reduction in listings and quick sales suggest a stable but not overheated market. Appreciation will likely be driven by gradual increases in property values, influenced by factors such as location desirability, economic stability, and limited new construction. Investors should prepare for moderate gains over the next 12-24 months, rather than expecting the kind of explosive growth seen in some other markets.

Given the current setup, landlords and small-portfolio investors in ZIP 02129 benefit from a strong position in both the sale and rental markets. The high median home value and low percentage of price reductions indicate that properties retain their value well. Meanwhile, the rental market shows signs of catching up to federally supported rates, providing an opportunity for landlords to adjust their rents accordingly without risking vacancy.

The combination of these elements—pricing power in the sale market, positive trends in rental rates, and a steady appreciation environment—positions ZIP 02129 as a reliable investment choice for those looking to build a portfolio in a resilient urban setting. However, it is important to note that the limited inventory and quick turnover times may challenge finding additional properties to add to the portfolio, suggesting a focus on maximizing returns from existing assets.

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.