Location: Barnstable Town, MA | Metro: Barnstable Town, MA MSA
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 | $2,000 |
| 1 Bedroom | $2,010 |
| 2 Bedrooms | $2,630 |
| 3 Bedrooms | $3,300 |
| 4 Bedrooms | $3,930 |
| 5 Bedrooms | $4,559 |
| 6 Bedrooms | $5,106 |
| 7 Bedrooms | $5,514 |
| 8 Bedrooms | $5,790 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,010 | $459,203 | 0.44% | F |
| 2BR | $2,630 | $555,831 | 0.47% | F |
| 3BR | $3,300 | $716,939 | 0.46% | F |
| 4BR | $3,930 | $852,421 | 0.46% | F |
| 5BR | $4,559 | $1,333,458 | 0.34% | F |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 landlord investing in ZIP 02536 in Falmouth, MA, are significant. Tenant turnover poses a considerable challenge, as the market rent of $1,626 is notably lower than the Fair Market Rent (FMR) of $2,260 for FY 2024. This discrepancy suggests that tenants may prefer higher-rent properties, leading to frequent turnover and associated costs such as cleaning, repairs, and advertising.
Vacancy exposure is another concern. With an average Days on Market (DOM) of 33 days, landlords might face periods where their units remain unoccupied. In a high-value area like Falmouth, where the typical home value is $705,452, these vacancies can result in lost income, particularly if the property is priced below the FMR and thus attracts fewer tenants.
The deferred-maintenance exposure is also substantial. The median income in ZIP 02536 is $100,497, which may not cover the costs of maintaining a property up to standard. Tenants receiving Section 8 assistance often have limited funds available for maintenance beyond what the program covers, potentially leaving landlords responsible for additional expenses.
However, these risks must be weighed against the high renter density in the area. With 11.3% of the population being renters, there is likely a strong demand for rental properties, especially those accepting Section 8 vouchers. This high renter share can help mitigate some of the risks associated with vacancy and turnover, as there will always be a pool of potential tenants looking for affordable housing options.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.