Location: Waldo County, ME | Metro: Waldo 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 | $1,050 |
| 1 Bedroom | $1,060 |
| 2 Bedrooms | $1,300 |
| 3 Bedrooms | $1,680 |
| 4 Bedrooms | $1,830 |
| 5 Bedrooms | $2,123 |
| 6 Bedrooms | $2,378 |
| 7 Bedrooms | $2,568 |
| 8 Bedrooms | $2,696 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,300 | $347,471 | 0.37% | F |
| 3BR | $1,680 | $379,014 | 0.44% | F |
U.S. Census Bureau data (2024)
The market in ZIP 04973, encompassing Searsmont, ME, presents a dynamic landscape influenced by both federal guidelines and local rental trends. The Fair Market Rent (FMR) set at $1,330 for the metro area in fiscal year 2026, while the actual market rent stands at $940 according to the Census ACS. This gap suggests that the local rental market is currently below federal benchmarks, indicating potential for upward pressure on rents as the market adjusts.
A median home value of $307,500 places Searsmont within a range that could attract both first-time buyers and investors looking for stable returns. However, the lack of data on price-cut share and days on market (DOM) means we cannot definitively conclude whether supply is outpacing demand or vice versa. Nonetheless, the relatively lower market rent compared to the FMR implies a possible undersupply of affordable rental units, which could drive demand upwards as tenants seek homes within their budget.
The 9.4% renter share in Searsmont is notably low, suggesting that homeownership remains the predominant form of housing tenure. This characteristic can imply long-term stability in housing values, as a higher proportion of residents owning their homes often correlates with less volatility in the market. However, it also indicates a smaller pool of renters, which might limit the potential for rental income growth unless there is an increase in the renter population.
In summary, Searsmont's market is characterized by a mix of affordability and potential for growth. While the current market rent is below the FMR, the median home value suggests a solid foundation for property investment. The low renter share points towards a stable but possibly constrained rental market, with implications for both rental and sales strategies for landlords and small-portfolio investors.
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.