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 | $2,130 |
| 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 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,650 | $701,229 | 0.38% | F |
| 3BR | $3,180 | $737,218 | 0.43% | F |
| 4BR | $3,510 | $1,001,547 | 0.35% | F |
| 5BR | $4,072 | $1,200,491 | 0.34% | F |
U.S. Census Bureau data (2024)
The ZIP code 02339, located in Hanover, Massachusetts, presents a dynamic rental market. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $2,380, while the actual market rent, as measured by Zillow's ZORI index, stands at $2,809. This indicates that the market rent exceeds the FMR, suggesting that demand for rental properties in Hanover is robust and potentially outstripping supply.
The median home value in the area is $815,656, reflecting a relatively affluent community. However, the lack of specific data on price-cut share and days on market (DOM) makes it challenging to definitively conclude whether supply or demand is currently dominant. Nonetheless, the higher market rent compared to FMR implies a tight rental market, where landlords may have less incentive to lower their rates to attract tenants.
A noteworthy figure is the 15.5% renter share, which highlights a significant portion of the population renting rather than owning homes. This suggests ongoing housing pressure in the long term, as a substantial number of residents rely on the rental market for housing. As the economy evolves and new residents move into the area, this high renter share could indicate sustained demand for rental properties, making Hanover an attractive investment for those interested in Section 8 housing opportunities.
The dynamics of the Hanover market are characterized by strong rental demand, evidenced by the premium over FMR, and a notable renter population that signals continued interest in the rental sector. Landlords and small-portfolio investors should consider these factors when evaluating the potential returns and stability of investments in ZIP 02339.
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.