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 | $2,550 |
| 1 Bedroom | $2,640 |
| 2 Bedrooms | $3,150 |
| 3 Bedrooms | $3,750 |
| 4 Bedrooms | $4,140 |
| 5 Bedrooms | $4,802 |
| 6 Bedrooms | $5,378 |
| 7 Bedrooms | $5,808 |
| 8 Bedrooms | $6,098 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,150 | $825,205 | 0.38% | F |
| 3BR | $3,750 | $1,241,527 | 0.3% | F |
| 4BR | $4,140 | $1,582,515 | 0.26% | F |
| 5BR | $4,802 | $1,993,456 | 0.24% | F |
U.S. Census Bureau data (2024)
ZIP 02466, located in Newton, MA, within the Boston-Cambridge-Quincy, MA-NH HUD Metro FMR Area, serves as a cash-flow anchor in a Section 8 portfolio strategy. The Family Monthly Rent (FMR) for ZIP 02466 in fiscal year 2024 is set at $3390, while the market average rent stands at $3,734. This creates a $344 spread between the FMR and the market rent, indicating that landlords can still generate positive cash flow despite participating in the Section 8 program.
The median home value in ZIP 02466 is $1,399,069, which reflects the affluent nature of the area. Given the high median income of $170,089, tenants are likely to be financially stable and capable of meeting their rental obligations, reducing the risk of default and maintaining steady cash flows. The area's strong economic foundation supports the reliability of the cash flow generated from Section 8 properties in this ZIP code.
Furthermore, with a 41.6% renter share, there is a significant portion of the population that relies on rental housing, creating a robust demand for apartments and houses. This demand ensures that properties are occupied and generating consistent income, making ZIP 02466 an ideal location for a cash-flow anchor in a Section 8 portfolio. Landlords and small-portfolio investors should consider this ZIP code for properties that will provide reliable and predictable cash flows, essential for long-term financial stability and growth.
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.