Location: Providence-Fall River, RI | Metro: Providence-Fall River, RI-MA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,200 |
| 1 Bedroom | $1,270 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $1,940 |
| 4 Bedrooms | $2,240 |
| 5 Bedrooms | $2,598 |
| 6 Bedrooms | $2,910 |
| 7 Bedrooms | $3,143 |
| 8 Bedrooms | $3,300 |
U.S. Census Bureau data (2024)
The classification of ZIP code 02858 on the axes of yield and stability reveals a mixed profile that leans towards providing steady cash flow rather than being a high-yield/low-stability flip-style market.
Starting with yield, the Fair Market Rent (FMR) for ZIP 02858 in fiscal year 2024 is set at $1,570. This figure represents the average rent level for a moderate-quality rental unit in the area. Given the home value of $449,189, the FMR suggests a reasonable rental income relative to property value. However, without specific market rent data, it's challenging to gauge the exact premium over market rates that might be achievable. The FMR serves as a benchmark for landlords participating in Section 8 programs, ensuring a stable but not necessarily maximized yield.
Moving onto stability, ZIP 02858 boasts a significant percentage of renters at 53.8%, which indicates a robust demand for rentals. The median household income of $128,568 supports the ability of residents to pay rents that align with the FMR, suggesting financial stability among tenants. This income level also implies a lower risk of default on rental payments, further reinforcing the stability aspect.
The absence of data regarding days on market (DOM) makes it difficult to assess how quickly properties can be rented out, but the high renter rate and decent income levels suggest that vacancies would likely be short-lived. Overall, these factors point towards a market that offers reliable cash flow rather than volatile, high-yield returns.
In conclusion, ZIP 02858 appears to be a steady-cashflow zone due to its significant renter population and strong median income, which underpin the ability to maintain consistent rental income. The FMR of $1,570 provides a solid basis for rental pricing, especially for landlords involved in Section 8 programs, ensuring they receive a fair and stable yield from their investments.
Data Sources: FMR data from HUD (2027). 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.