Location: Penobscot County, ME | Metro: Penobscot County, ME (part) HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,260 |
| 3 Bedrooms | $1,690 |
| 4 Bedrooms | $1,810 |
| 5 Bedrooms | $2,100 |
| 6 Bedrooms | $2,352 |
| 7 Bedrooms | $2,540 |
| 8 Bedrooms | $2,667 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 04417, located in part of Penobscot County, Maine, reveals several key insights regarding the viability of voucher tenants in this area. The HUD Fair Market Rent (FMR) for ZIP 04417 for fiscal year 2024 is set at $980. However, due to limited data, the exact market rent figures are currently unavailable. This lack of precise market rent data makes it challenging to definitively state whether voucher tenants will provide positive cash flow at the HUD FMR rate.
To derive a rent-to-price ratio, we would typically compare the annual rent to the median home value. Unfortunately, the median home value for ZIP 04417 is also not available. This missing information complicates the assessment of whether renting out properties at the FMR rate is more or less advantageous compared to purchasing a home in the area.
Given the absence of specific market rent data, we can infer that voucher tenants will likely cashflow at the FMR rate but may do so marginally. In areas where market rents exceed the HUD FMR, voucher tenants often struggle to cover expenses unless the units are premium and attract higher rents. However, without the precise market rent figures, we cannot confirm this hypothesis with certainty.
The Days on Market (DOM) and the percentage of price cuts are also unavailable for ZIP 04417. These metrics would be useful in understanding the dynamics between renting and buying, particularly how quickly homes sell and at what price point. Nonetheless, the lack of these figures does not significantly impact the overall analysis since the primary focus is on the comparison between the HUD FMR and market rent.
The strongest investor angle in ZIP 04417 is stability. With the HUD FMR providing a consistent income floor, investors can rely on steady cash flow from voucher tenants, even if the margin is tight. Stability is crucial for long-term investment strategies, especially for small-portfolio investors looking for predictable returns.
Data Sources: FMR data from HUD (2027). 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.