Location: Lewiston-Auburn, ME | Metro: Lewiston-Auburn, ME MSA
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 | $1,260 |
| 1 Bedroom | $1,330 |
| 2 Bedrooms | $1,740 |
| 3 Bedrooms | $2,200 |
| 4 Bedrooms | $2,550 |
| 5 Bedrooms | $2,958 |
| 6 Bedrooms | $3,313 |
| 7 Bedrooms | $3,578 |
| 8 Bedrooms | $3,757 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,740 | $302,927 | 0.57% | F |
| 3BR | $2,200 | $360,385 | 0.61% | D |
| 4BR | $2,550 | $380,025 | 0.67% | D |
U.S. Census Bureau data (2024)
The potential risks for a first-time Section 8 landlord investing in ZIP code 04250 in Lisbon, ME, are significant. Tenant turnover is a critical issue, with the market rent at $1,010 being notably lower than the Fair Market Rent (FMR) of $1,140 for fiscal year 2024. This disparity suggests that tenants might be more likely to move when they find a higher-paying job or an alternative housing arrangement that better suits their needs. Additionally, the vacancy exposure is substantial due to the lack of available data on days on market (DOM), indicating a possible difficulty in filling vacancies quickly. The deferred maintenance exposure is also a concern, considering the typical home value of $337,197 and the median income of $84,028. These figures suggest that homeowners might struggle to keep up with necessary repairs and maintenance, which could lead to higher costs for landlords.
However, these risks must be weighed against the high renter share in the area, which stands at 24.1%. High renter density typically translates into greater demand for rental properties, including those utilizing Section 8 vouchers. This increased demand can help mitigate the risk of vacancies and ensure a steady stream of tenants who are willing and able to pay through the voucher program.
In conclusion, despite the challenges posed by tenant turnover, vacancy exposure, and deferred maintenance, the high renter share in ZIP 04250 presents a favorable environment for Section 8 investments. Therefore, the overall risk for a first-time Section 8 landlord in this area is moderate.
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.