Location: Hillsborough County, NH | Metro: Hillsborough County, NH (part) 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 | $1,180 |
| 1 Bedroom | $1,240 |
| 2 Bedrooms | $1,620 |
| 3 Bedrooms | $2,000 |
| 4 Bedrooms | $2,560 |
| 5 Bedrooms | $2,970 |
| 6 Bedrooms | $3,326 |
| 7 Bedrooms | $3,592 |
| 8 Bedrooms | $3,772 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,620 | $430,702 | 0.38% | F |
| 3BR | $2,000 | $548,223 | 0.36% | F |
| 4BR | $2,560 | $673,018 | 0.38% | F |
U.S. Census Bureau data (2024)
The real estate market in ZIP 03449, Hancock, NH, is currently characterized by a median home value of $539,739. This figure provides a benchmark for property values in the area, reflecting the overall cost of homeownership. The fact that the percentage of listings reduced is listed as N/A suggests that sellers are maintaining their asking prices, indicating a level of confidence in the local housing market. Similarly, the median days on market (DOM) being N/A implies that homes are either selling quickly or the market is stable, without a significant backlog of unsold properties.
On the rental side, the Fair Market Rent (FMR) for ZIP 03449 as of fiscal year 2024 is set at $1,470, whereas the actual market rent stands at $1,208 according to the latest Census ACS data. This gap between the FMR and the market rent signals an opportunity for landlords and small-portfolio investors who can offer affordable rental options under the FMR threshold. Given the discrepancy, there is potential for rental income to increase closer to the FMR levels as the market adjusts to meet the needs of tenants.
The setup implied by the data points towards a market where pricing power remains with the sellers due to the maintained listing prices and quick sales. Long-term hold investors should consider the appreciation thesis carefully. With the current median home value and the stable market conditions, appreciation is likely to continue at a moderate pace, driven by factors such as population growth, economic stability, and the natural inflation of property values. However, the exact rate of appreciation cannot be determined solely from these figures and would depend on broader economic trends and local market specifics.
In summary, the combination of high median home values and stable market conditions suggests that landlords and small-portfolio investors can expect steady returns from their investments, both in terms of rental income and potential property value appreciation. The rental market offers a strategic advantage for those willing to align their rents with the FMR, potentially attracting more tenants and securing longer-term leases.
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.