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 | $1,560 |
| 1 Bedroom | $1,660 |
| 2 Bedrooms | $2,050 |
| 3 Bedrooms | $2,470 |
| 4 Bedrooms | $2,940 |
| 5 Bedrooms | $3,410 |
| 6 Bedrooms | $3,819 |
| 7 Bedrooms | $4,125 |
| 8 Bedrooms | $4,331 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,050 | $471,891 | 0.43% | F |
| 3BR | $2,470 | $604,853 | 0.41% | F |
| 4BR | $2,940 | $704,250 | 0.42% | F |
U.S. Census Bureau data (2024)
The Section 8 market in ZIP code 02892, located in Richmond, Rhode Island, presents a unique opportunity for investors due to the relationship between the HUD Fair Market Rent (FMR) and the local rental market conditions. The HUD FMR for this area is set at $2360 for fiscal year 2024. However, the lack of specific market rent data suggests that there may be limited competition in the rental sector, allowing for potential advantages when it comes to attracting voucher tenants.
Voucher tenants in ZIP 02892 will generally cashflow at the FMR rate, given the absence of higher market rents that would otherwise make it difficult to achieve positive cashflow. This means that landlords can expect to cover their expenses and potentially earn a modest profit without the need for premium units. The median home value in the area is $591,353, which provides a basis for calculating the rent-to-price ratio. Assuming a typical mortgage payment structure, the FMR of $2360 translates into a rent-to-price ratio that is favorable for both renters and buyers.
While the exact day median Days on Market (DOM) and percentage of price cuts are not available, these metrics typically influence the rent-versus-buy dynamics. In areas where homes sell quickly and at or above asking price, the buy side becomes more attractive. Conversely, if there's a high DOM and significant price cuts, renting may be more advantageous. Given the median home value and the stable FMR, it appears that the stability of the housing market is a strong factor.
The strongest investor angle in ZIP 02892 is likely stability, as the consistent HUD FMR and median home values indicate a predictable environment for long-term investments. This stability allows investors to plan effectively for cashflow and property management, knowing that they can rely on the FMR to support their rental income needs.
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.