Location: Aroostook County, ME | Metro: Aroostook 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 | $1,040 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,850 |
| 4 Bedrooms | $1,920 |
| 5 Bedrooms | $2,227 |
| 6 Bedrooms | $2,494 |
| 7 Bedrooms | $2,694 |
| 8 Bedrooms | $2,829 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,850 | $249,550 | 0.74% | D |
U.S. Census Bureau data (2024)
To determine if you should invest in ZIP code 04757 for Section 8 properties, follow this decision tree:
1) Does the Fair Market Rent (FMR) of $1,500 cover the debt service on a property valued at $217,291?
If you can secure a property valued at $217,291 with a monthly debt service lower than $1,500, then proceed to the next question. Otherwise, the answer is No. A property valued at $217,291 would typically require a higher monthly debt service than what the FMR of $1,500 can provide.
2) How does the market rent of $611 compare to the FMR?
If the market rent is below the FMR, which it is ($611 vs. $1,500), then you have a positive margin when renting to Section 8 tenants. This makes the investment more attractive. Proceed to the next question.
3) Is there sufficient demand with 15.3% of residents being renters and an unspecified number of days on the market (DOM)?
The percentage of renters is a key indicator of demand. With 15.3% of residents renting, the demand for rental properties is moderate. However, without a specific Days on Market (DOM) figure, it's challenging to assess how quickly properties are rented out. If the DOM is low, indicating quick turnover, then the answer is Yes. If the DOM is high, suggesting slower demand, then the answer is It Depends.
A summary of the decision points:
Note that while the FMR significantly exceeds the market rent, making Section 8 properties potentially lucrative, the percentage of renters and DOM are critical factors in determining the viability of your investment. Ensure you also consider other factors such as property taxes, insurance, maintenance costs, and the overall economic health of the area.
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.