Location: Providence-Fall River, RI | Metro: Providence-Fall River, RI-MA 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 | $1,470 |
| 1 Bedroom | $1,560 |
| 2 Bedrooms | $1,940 |
| 3 Bedrooms | $2,380 |
| 4 Bedrooms | $2,700 |
| 5 Bedrooms | $3,132 |
| 6 Bedrooms | $3,508 |
| 7 Bedrooms | $3,789 |
| 8 Bedrooms | $3,978 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,380 | $675,097 | 0.35% | F |
| 4BR | $2,700 | $764,284 | 0.35% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP 02881 does not align favorably for Section 8 landlords. The Fair Market Rent (FMR) set at $2000 for fiscal year 2024 contrasts sharply with the Census ACS-reported market rent of $1,642. This discrepancy indicates that landlords participating in the Section 8 program will receive higher rents than the current market average, suggesting a potential financial advantage.
Acquisition of properties in ZIP 02881 is challenging due to the high median home value of $684,007. Given the lack of specific data on days on market (DOM) and the percentage of homes needing price cuts, it's clear that property values are robust, which may deter new acquisitions unless investors have a substantial budget or expect long-term appreciation. The absence of DOM and price-cut share metrics suggests a stable housing market where homes sell close to their asking price.
Tenant demand in ZIP 02881 is strong, with a population of 7,687 individuals and 56.0% of residents renting their homes. This significant rental market share implies a steady pool of potential tenants interested in finding housing through the Section 8 program. Landlords can leverage this demand to ensure consistent occupancy rates and reduce vacancy periods.
In summary, while the rent math works in favor of landlords due to the higher FMR compared to market rents, the high median home value poses challenges for new acquisitions. However, the strong tenant demand provides a solid foundation for maintaining occupied units. For existing landlords with properties already above the market rent, participation in the Section 8 program can be financially beneficial. New investors should carefully consider the initial capital required and the long-term benefits of stable tenancy before entering the ZIP 02881 market.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.