Location: Oxford County, ME | Metro: Oxford County, ME
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 | $1,060 |
| 1 Bedroom | $1,180 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $2,100 |
| 4 Bedrooms | $2,540 |
| 5 Bedrooms | $2,946 |
| 6 Bedrooms | $3,300 |
| 7 Bedrooms | $3,564 |
| 8 Bedrooms | $3,742 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,180 | $375,902 | 0.31% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 04261, located within the Oxford County, ME metro area, reveals a favorable environment for those seeking to leverage HUD Fair Market Rent (FMR) rates. The HUD FMR for the area stands at $1,630 per month, which is significantly higher than the average market rent of $1,000 based on Census ACS data. This discrepancy means that voucher tenants can cashflow at the FMR rate, providing a substantial buffer for landlords.
To further understand the investment potential, consider the median home value in the area, which is $524,085. Using this figure, we can calculate the rent-to-price ratio. With an average market rent of $1,000, the ratio comes out to be approximately 2.3%, indicating that rental income is relatively low compared to property values. However, given the HUD FMR rate of $1,630, the rent-to-price ratio improves to about 3.5%. This enhanced ratio suggests that properties rented at or near the FMR can offer better returns relative to their purchase price.
The dynamics between renting and buying in this market do not appear to heavily influence the decision-making process for investors. The median days on market (DOM) for homes is listed as N/A, which could imply either a balanced market or insufficient data to draw conclusions. Additionally, the price-cut share stands at just 0.2%, suggesting that sellers are generally not having to reduce their asking prices to attract buyers, a sign of a stable housing market.
In conclusion, the strongest angle for investors in ZIP code 04261 is cashflow. Properties rented at the HUD FMR rate of $1,630 provide a significant advantage over the average market rent, allowing for positive cashflow even when accounting for typical vacancy and maintenance costs. This makes the area particularly attractive for Section 8 landlords and small-portfolio investors looking to generate steady income from their investments.
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.