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 | $3,040 |
| 1 Bedroom | $3,140 |
| 2 Bedrooms | $3,750 |
| 3 Bedrooms | $4,470 |
| 4 Bedrooms | $4,930 |
| 5 Bedrooms | $5,719 |
| 6 Bedrooms | $6,405 |
| 7 Bedrooms | $6,917 |
| 8 Bedrooms | $7,263 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $3,140 | $685,944 | 0.46% | F |
| 2BR | $3,750 | $861,024 | 0.44% | F |
| 3BR | $4,470 | $1,184,957 | 0.38% | F |
| 4BR | $4,930 | $1,431,462 | 0.34% | F |
| 5BR | $5,719 | $1,584,350 | 0.36% | F |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 landlord in ZIP 02144, Somerville, MA, are significant. Tenant turnover is a primary concern, with the market rent at $3,857 compared to the Federal Market Rent (FMR) of $3,480 for FY 2024. This discrepancy suggests that tenants may struggle to afford the higher market rates, leading to frequent moves and higher vacancy rates. Vacancy exposure is another issue, as the days on market (DOM) is not available, which could indicate either very quick leasing or an unreliable data source. In either case, the lack of this metric makes it difficult to assess how long properties might remain vacant between tenants.
Deferred maintenance is also a risk factor. With a typical home value of $1,057,592 and a median income of $150,313, many homeowners might delay necessary repairs due to the high cost of living and limited financial resources. This can lead to unexpected expenses for landlords who inherit properties in need of significant upkeep. However, the high renter share of 63.4% provides a strong counterpoint to these risks. High renter density generally correlates with higher demand for rental housing, including those supported by Section 8 vouchers. This robust demand can help mitigate the risks associated with tenant turnover and vacancy periods.
In conclusion, despite the challenges posed by tenant turnover, vacancy exposure, and deferred maintenance, the high renter share in ZIP 02144 presents a favorable environment for Section 8 investments. The overall risk for a first-time Section 8 landlord in this area is moderate.
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.