Section 8 Fair Market Rent (FMR) for ZIP 02362 - 2027

FY 2027 Fair Market Rent Rates

The economics of Section 8 housing in ZIP code 02362, located in the Boston-Cambridge-Quincy County area, are straightforward. The SAFMR (Section 8 Area Median Rent) for a two-bedroom apartment in this specific ZIP code is set at $2380 for the fiscal year 2024. This figure represents the maximum amount that the federal government will reimburse landlords for renting out a two-bedroom unit under the Section 8 program.

To understand how much a landlord can expect to receive, it's important to break down the components of the voucher payment. The voucher payment consists of two parts: the tenant's contribution and the government's subsidy. The tenant's portion is typically around 30% to 40% of their adjusted monthly income, which covers their share of the rent and utilities. The government then subsidizes the difference between the tenant's contribution and the SAFMR.

For instance, if a tenant's adjusted monthly income is $1500, they would contribute approximately $450 to $600 towards the rent. The government would then cover the remainder up to the SAFMR of $2380. Utility allowances are also part of the equation but vary based on the region and type of utility. In ZIP 02362, these allowances are included in the total reimbursement calculation.

The SAFMR of $2380 is the ceiling for what the government will pay, meaning landlords cannot charge more than this amount for a two-bedroom apartment to receive full reimbursement. If the local market rent were higher than the SAFMR, landlords would face a reimbursement gap, where they would have to accept a lower rental income or find alternative tenants who can afford the market rate.

In ZIP 02362, since the local market rent data is currently unavailable, it's impossible to provide a precise surplus or gap figure. However, landlords should be aware that the SAFMR is specifically tailored to this ZIP code, reflecting local housing costs and ensuring fair compensation for providing affordable housing options.

To summarize, landlords in ZIP 02362 can expect a total reimbursement of up to $2380 for a two-bedroom apartment, with the actual amount depending on the tenant's income and utility allowances. The key is understanding that the SAFMR sets a fixed maximum, and any excess over this amount must be covered by the landlord or negotiated with the tenant. Without specific local market rent data, we cannot calculate the exact reimbursement gap or surplus, but the SAFMR provides a clear benchmark for rental pricing under the Section 8 program.

Data Sources: FMR data from HUD (2027).

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.