Location: Brockton, 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 | $564,595 | 0.47% | F |
| 3BR | $3,180 | $732,248 | 0.43% | F |
| 4BR | $3,510 | $1,009,690 | 0.35% | F |
| 5BR | $4,072 | $1,656,254 | 0.25% | F |
U.S. Census Bureau data (2024)
The ZIP code 02738, which encompasses Marion and parts of Brockton in the Massachusetts HUD Metro FMR Area, can serve as a strategic component in a Section 8 portfolio. Given the data, this area is best categorized as an appreciation play rather than a cash-flow anchor or diversifier.
To understand why, let's examine the financial metrics. The Fair Market Rent (FMR) for ZIP 02738 in fiscal year 2024 is set at $2380. This figure represents the maximum rental amount that a landlord can charge for a Section 8 voucher in the area. However, the median home value in this ZIP code is significantly higher at $816,433. With the market rent at $1,176, there is a notable gap between the FMR and the actual market conditions, suggesting that the area has a strong potential for property value appreciation over time.
The lack of specific percentage for price-cut share and days on market (DOM) indicates that properties in this ZIP code do not often require deep discounts or extended listing periods to sell, further supporting the appreciation play thesis. Landlords and small-portfolio investors looking to capitalize on long-term growth should consider ZIP 02738 as part of their investment strategy.
While the renter share stands at 9.2%, and the median income is $143,092, these figures do not strongly support the diversifier category. The high median income suggests that residents have the financial capacity to afford higher rents or mortgages, making the area less dependent on rental subsidies. Therefore, the primary focus for investors in ZIP 02738 should be on the potential for property value increases rather than immediate cash flow or diversification benefits.
In conclusion, ZIP 02738 is most suitable as an appreciation play within a Section 8 portfolio strategy. The combination of a high FMR relative to market rents and median home values, along with a low need for price cuts and short DOM, points towards an area where property values are likely to rise, providing solid returns for patient investors.
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.