Section 8 Fair Market Rent (FMR) for ZIP 03220 - 2027

Location: Merrimack County, NH | Metro: Belknap County, NH

Investment Score for ZIP 03220

F
Monthly Rent (2BR)
$1,780
Median Price (2BR)
$365,523
1% Rule
0.49%
Annual Yield
5.84%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,230
1 Bedroom$1,360
2 Bedrooms$1,780
3 Bedrooms$2,350
4 Bedrooms$2,410
5 Bedrooms$2,796
6 Bedrooms$3,132
7 Bedrooms$3,383
8 Bedrooms$3,552

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,780 $365,523 0.49% F
3BR $2,350 $490,392 0.48% F
4BR $2,410 $587,027 0.41% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
7,393
Median Household Income
$68,242
Housing Units
3,677
Renter Percentage
17.9%
Occupancy Rate
84.6%
Renter Occupied
556

The potential pitfalls of investing in ZIP 03220, Belmont, NH, under the Section 8 program are significant. First, consider the discrepancy between the market rent of $996 and the Fair Market Rent (FMR) of $1,620 for FY 2026 in the metro area. This gap suggests that landlords might struggle to find tenants willing to pay the higher FMR, leading to increased tenant turnover. High turnover can be costly due to the need for frequent property showings, lease negotiations, and background checks.

Vacancy exposure is another critical issue. The average number of days on the market (DOM) is not available, which implies uncertainty regarding how long it might take to fill a rental unit. In a competitive market, extended vacancy periods can significantly impact cash flow and profitability.

The typical home value in ZIP 03220 is $459,387, while the median household income is $68,242. This combination indicates a substantial financial burden on residents, potentially leading to deferred maintenance issues if tenants cannot afford necessary repairs. Landlords must be prepared to handle these costs, as they can quickly erode profits.

Despite these challenges, the high renter share of 17.9% provides a silver lining. A larger proportion of renters often translates into higher demand for housing vouchers, making it easier to secure tenants who are financially stable and have their rent subsidized. This factor mitigates some of the risks associated with vacancy and tenant turnover.

In conclusion, the risks for a first-time Section 8 landlord in ZIP 03220, Belmont, NH, are moderate. While there are concerns about tenant turnover, vacancy exposure, and deferred maintenance, the high renter share offers a robust cushion against these uncertainties.

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.