Location: Grafton County, NH | Metro: Grafton County, NH
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 | $1,280 |
| 1 Bedroom | $1,280 |
| 2 Bedrooms | $1,680 |
| 3 Bedrooms | $2,280 |
| 4 Bedrooms | $2,290 |
| 5 Bedrooms | $2,656 |
| 6 Bedrooms | $2,975 |
| 7 Bedrooms | $3,213 |
| 8 Bedrooms | $3,374 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,680 | $428,858 | 0.39% | F |
| 3BR | $2,280 | $612,975 | 0.37% | F |
| 4BR | $2,290 | $883,075 | 0.26% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 03241, Hebron, NH, within Grafton County, are straightforward. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $1,810. This figure represents the maximum amount that the Housing Choice Voucher program will pay towards the rent of a two-bedroom unit in this specific area.
In comparison, the local market rent for a two-bedroom apartment, based on Census ACS data, is lower at $1,411. This discrepancy between the SAFMR and the local market rent can be advantageous for landlords who are willing to participate in the Section 8 program, as they may receive higher rent payments than the typical market rate.
A landlord should understand that the voucher does not cover the entire rent amount; it only reimburses up to the SAFMR. Tenants are responsible for paying a portion of the rent, typically around 30% of their income, plus any utility allowances. For instance, if the total rent is $1,810, and the tenant's portion is $543 (30% of an assumed income), then the voucher would cover the remaining $1,267. However, this calculation assumes the rent does not exceed the SAFMR.
If the rent is set at the local market rate of $1,411, the tenant's portion would still be approximately 30% of their income, which is $543. Therefore, the voucher would cover the rest, which is $868. This means that landlords would receive a total of $1,411, the same as the market rate, but with the security and stability provided by the Section 8 program.
Utility allowances vary but are usually around $200-$300 per month. If we assume an allowance of $250, this would be additional compensation to the landlord. Thus, in a scenario where the rent is $1,411 and the tenant pays $543, the landlord would receive $1,268 ($868 from the voucher plus the $250 utility allowance).
In ZIP 03241, landlords participating in Section 8 with a two-bedroom apartment priced at the local market rate of $1,411 would see a surplus of $250 per month due to the utility allowance. This surplus compensates for administrative costs and other potential inconveniences associated with the program. Landlords who set their rents above the SAFMR of $1,810 would face a reimbursement gap, receiving only up to $1,810 from the voucher program, regardless of the actual rent charged.
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.