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 | $1,630 |
| 1 Bedroom | $1,730 |
| 2 Bedrooms | $2,150 |
| 3 Bedrooms | $2,630 |
| 4 Bedrooms | $2,990 |
| 5 Bedrooms | $3,468 |
| 6 Bedrooms | $3,884 |
| 7 Bedrooms | $4,195 |
| 8 Bedrooms | $4,405 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,150 | $440,919 | 0.49% | F |
| 3BR | $2,630 | $652,292 | 0.4% | F |
| 4BR | $2,990 | $839,536 | 0.36% | F |
| 5BR | $3,468 | $926,770 | 0.37% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 02921, Cranston, RI, are defined by the SAFMR (Small Area Fair Market Rent) rates set specifically for this ZIP. For fiscal year 2024, the SAFMR for a two-bedroom apartment is $2400. This figure represents the maximum amount that the Housing Choice Voucher program will pay for rent in this area. However, it's important to note that the local market rent, as measured by ZORI (Zillow Observed Rent Index), is slightly lower at $2,195.
A landlord participating in the Section 8 program receives a reimbursement based on the SAFMR, but the actual payment involves several components. First, the tenant is responsible for paying a portion of the rent, typically 30% of their adjusted income. If we assume an average tenant income, the tenant's portion would be around $720, leaving the voucher program to cover the remaining $1680. Additionally, there are utility allowances that vary depending on the size of the unit and location. In ZIP 02921, the utility allowance for a two-bedroom unit is approximately $400 per month.
This means that the total monthly reimbursement a landlord can expect from a Section 8 voucher for a two-bedroom apartment would be around $2080 ($1680 for rent plus $400 for utilities). Given the SAFMR of $2400, the landlord could theoretically charge up to this amount, but the tenant's share plus the utility allowance would still result in a net payment of $2080.
When comparing the SAFMR to the local market rent, it becomes evident that landlords in ZIP 02921 might face a slight surplus if they align their rental rates with the local market. With a ZORI of $2,195, landlords who charge market rates would receive a reimbursement of $2080, which is below the market rate. This results in a reimbursement gap of about $115 per month, meaning landlords would need to subsidize the difference between the market rate and the voucher reimbursement.
To summarize, the typical reimbursement for a two-bedroom apartment in ZIP 02921 under the Section 8 program is $2080 per month, leading to a reimbursement gap of $115 when compared to the local market rent of $2,195.
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.