Section 8 Fair Market Rent (FMR) for ZIP 04607 - 2027
Location: Hancock County, ME | Metro: Hancock County, ME
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $1,360 |
| 1 Bedroom | $1,360 |
| 2 Bedrooms | $1,730 |
| 3 Bedrooms | $2,390 |
| 4 Bedrooms | $2,560 |
| 5 Bedrooms | $2,970 |
| 6 Bedrooms | $3,326 |
| 7 Bedrooms | $3,592 |
| 8 Bedrooms | $3,772 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$60,152
When considering whether to purchase a property in ZIP code 04607 for Section 8 investment, follow these steps:
- Does FMR $1,500 (metro FY 2026) clear debt service on a $354,934 property?
- Yes: The Fair Market Rent (FMR) of $1,500 is sufficient to cover the debt service on a property valued at $354,934. This indicates that rental income from a Section 8 tenant will be enough to meet mortgage payments and other financial obligations.
- No: If the debt service exceeds the FMR of $1,500, purchasing in ZIP 04607 would not be financially viable for a Section 8 investment. Ensure that your property's debt service does not exceed the FMR threshold.
- Is market rent $1,342 (Census ACS) above, at, or below FMR?
- Above: If the market rent of $1,342 is higher than the FMR, then there is an opportunity to charge a higher rent to non-Section 8 tenants, which can increase profitability. However, for Section 8 tenants, you are limited to the FMR rate.
- At: When market rent equals the FMR, you can expect to break even with Section 8 tenants. There is no additional margin for non-Section 8 tenants, so profitability will depend solely on the FMR.
- Below: If the market rent is lower than the FMR, then Section 8 can provide a stable source of income. Landlords might find themselves charging more than what the local market would typically bear, thus ensuring better financial returns compared to renting out to non-subsidized tenants.
- Are 18.4% renters + N/A-day DOM enough demand?
- Yes: With 18.4% of residents being renters, there is a reasonable demand for rental properties in ZIP 04607. The lack of data on days on market (DOM) suggests that the rental market moves quickly, which could indicate strong demand. If the property is in good condition and priced appropriately, it should attract tenants.
- No: If the 18.4% rental rate is not high enough to ensure steady occupancy, or if the DOM is longer than expected, indicating a slower market, then investing in Section 8 properties may not be optimal. Consider areas with higher rental rates and shorter DOM.
- It depends: If the rental rate is adequate but there is uncertainty about the DOM, it would depend on the specific property and its location within ZIP 04607. A well-maintained property in a desirable area is likely to perform better than a poorly maintained one in a less desirable area.
In conclusion, ZIP 04607 offers a viable option for Section 8 investments if the FMR covers debt service, the market rent is either at or below the FMR, and the rental demand is sufficient. Evaluate each property based on these criteria to make an informed decision.
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.