Location: Sullivan County, NH | Metro: Cheshire 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 | $1,200 |
| 1 Bedroom | $1,330 |
| 2 Bedrooms | $1,740 |
| 3 Bedrooms | $2,270 |
| 4 Bedrooms | $2,430 |
| 5 Bedrooms | $2,819 |
| 6 Bedrooms | $3,157 |
| 7 Bedrooms | $3,410 |
| 8 Bedrooms | $3,581 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,740 | $332,060 | 0.52% | F |
| 3BR | $2,270 | $402,327 | 0.56% | F |
| 4BR | $2,430 | $461,867 | 0.53% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP 03602, located in Alstead, NH, within the Sullivan County, NH metro area, reveals several key points regarding its viability for Section 8 real-estate investment.
The first question concerns whether the rent math works. The Fair Market Rent (FMR) for the Sullivan County, NH metro area in fiscal year 2026 is set at $1,700. However, the Census ACS data indicates that the current market rent is only $828. This disparity means that landlords would receive significantly higher rental income through Section 8 compared to the local market rate. Specifically, the difference is $872 per month, which can be a substantial benefit for property owners willing to participate in the program.
Regarding the affordability of acquiring properties in this ZIP code, the median home value stands at $353,691. With the day DOM (Days on Market) being N/A and the percentage of homes that required a price cut also listed as N/A, it suggests that the data on how quickly homes sell and at what frequency they need to be discounted is not readily available. This lack of information makes it challenging to assess the competitiveness of the market for home acquisitions. However, given the median home value, it's important to note that this figure might represent an initial barrier for some investors looking to enter the market with limited capital.
The third point to consider is tenant demand. ZIP 03602 has a total population of 2,381, with 19.7% of residents being renters. This translates to approximately 469 potential tenants who could be interested in Section 8 housing. While the overall population is relatively small, the proportion of renters indicates a stable demand for rental properties, including those that accept Section 8 vouchers.
Verdict: In ZIP 03602, the rent math clearly works in favor of Section 8 participation, with significant potential to earn above market rates. Acquisition costs are notably high, with the median home value exceeding $350,000, which may limit accessibility for some investors. Tenant demand is present, though the market size is modest. Overall, for investors with sufficient capital, ZIP 03602 presents a favorable opportunity due to the financial benefits of participating in the Section 8 program and a steady, albeit small, pool of potential tenants.
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.