Location: Sagadahoc County, ME | Metro: Sagadahoc County, ME 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 | $1,300 |
| 1 Bedroom | $1,400 |
| 2 Bedrooms | $1,800 |
| 3 Bedrooms | $2,360 |
| 4 Bedrooms | $2,820 |
| 5 Bedrooms | $3,271 |
| 6 Bedrooms | $3,664 |
| 7 Bedrooms | $3,957 |
| 8 Bedrooms | $4,155 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,360 | $456,463 | 0.52% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 04287 are straightforward and critical for landlords and small-portfolio investors to understand. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2024 is set at $1320. This SAFMR is specifically tailored for this ZIP code, meaning it reflects the rental market conditions here uniquely.
To clarify how a voucher works, let's break down the components involved. A tenant participating in the Section 8 program typically pays 30% of their adjusted income towards rent. For example, if a tenant's monthly adjusted income is $1000, they would pay $300 toward rent. The remainder, up to the SAFMR limit, is covered by the housing authority. In our case, if the total rent is $1320, the housing authority would cover $1020 ($1320 - $300).
Utility allowances can also play a role in the reimbursement amount. These allowances vary but are generally meant to cover the tenant's share of utilities. If the utility allowance is included in the SAFMR figure, then the housing authority will not provide additional funds for utilities. However, if utilities are separate, the landlord should be aware that the housing authority might offer a fixed amount per utility, which could range from $100 to $200 per month depending on local standards and the type of utility.
Given the SAFMR of $1320 and assuming the tenant's share is $300, the landlord receives a reimbursement of $1020 from the housing authority. If we factor in a utility allowance of $150, the total reimbursement would be $1170. This leaves a gap of $150 between the SAFMR and the actual reimbursement received by the landlord.
It's important to note that the local market rent is currently not available, which means landlords cannot directly compare the SAFMR to the prevailing market rates. However, the SAFMR is designed to reflect a reasonable rental rate for the area, so it's likely close to the market average.
In summary, for a two-bedroom apartment in ZIP code 04287, landlords can expect a reimbursement of around $1170 per month when including a utility allowance. This results in a reimbursement gap of $150 compared to the SAFMR of $1320. Landlords must weigh this gap against the benefits of stable, government-backed rental payments.
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.