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 | $1,080 |
| 1 Bedroom | $1,090 |
| 2 Bedrooms | $1,420 |
| 3 Bedrooms | $1,930 |
| 4 Bedrooms | $1,940 |
| 5 Bedrooms | $2,250 |
| 6 Bedrooms | $2,520 |
| 7 Bedrooms | $2,722 |
| 8 Bedrooms | $2,858 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,420 | $368,208 | 0.39% | F |
| 3BR | $1,930 | $403,028 | 0.48% | F |
U.S. Census Bureau data (2024)
The Section 8 thesis in ZIP code 03771, centered around Monroe, NH, is based on the discrepancy between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR stands at $1,380, while the Census ACS reports an average market rent of $1,104. This creates a gap of $276, or approximately 20%, between what voucher holders can pay and the current market rate.
Given that the FMR exceeds the market rent, landlords and small-portfolio investors should view this area as a yield play. Voucher tenants provide a guaranteed and stable source of income, backed by federal funds, which ensures timely rent payments. In Monroe, NH, where only 11.4% of residents are renters, the presence of voucher holders can be particularly beneficial. It allows landlords to command rents closer to the FMR, thus maximizing their rental income without the risk associated with higher vacancy rates typical in areas with fewer renters.
The median home value in Monroe, NH, is $382,648, indicating a relatively affluent area. However, the median income of $88,150 suggests that many residents might still find it challenging to afford housing costs. This is where the Section 8 program steps in, providing subsidies to low-income families to cover the difference between their ability to pay and the rent charged. For landlords, this means the opportunity to maintain rental income levels that are above the local market rate, thereby enhancing the yield on their investment properties.
To summarize, the gap between the FMR and the market rent in Monroe, NH, makes it a favorable environment for landlords who are willing to participate in the Section 8 program. The program supports a steady stream of rental income, aligning with higher FMRs and compensating for the lower proportion of renters in the area.
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.