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 | $1,350 |
| 1 Bedroom | $1,370 |
| 2 Bedrooms | $1,630 |
| 3 Bedrooms | $2,110 |
| 4 Bedrooms | $2,360 |
| 5 Bedrooms | $2,738 |
| 6 Bedrooms | $3,067 |
| 7 Bedrooms | $3,312 |
| 8 Bedrooms | $3,478 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,110 | $387,045 | 0.55% | F |
U.S. Census Bureau data (2024)
In ZIP code 04981, the economics of Section 8 housing can be broken down into several key components. The SAFMR (Section 8 Area Median Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $1,660. This figure represents the maximum amount that the Housing Choice Voucher program will pay towards rent for a two-bedroom unit in this specific area.
The local market rent, as reported by the Census ACS (American Community Survey), stands at $1,290 for a similar two-bedroom unit. This indicates that the SAFMR is higher than the average market rent, which benefits landlords who might otherwise struggle to cover costs due to lower rental rates.
A voucher payment is made up of two parts: the tenant contribution and the utility allowance. The tenant must contribute 30% of their adjusted income towards the rent. If the tenant's portion plus the utility allowance does not reach the SAFMR, the difference is covered by the government. For instance, if a tenant's share is $300 and the utility allowance is $200, the total contribution from the tenant and the allowance would be $500. In this case, the government would pay the remaining $1,160 to reach the SAFMR of $1,660.
However, it's important to note that the reimbursement is based on the lower of the market rent or the SAFMR. Since the market rent in ZIP 04981 is $1,290, the government will only pay up to this amount. Therefore, if the tenant contributes $300 and the utility allowance is $200, the government would cover the remaining $790 to ensure the total rent paid is $1,290. This means landlords receive the full market rent even if it is below the SAFMR.
The typical reimbursement gap or surplus in ZIP 04981 for a two-bedroom unit is a surplus of $370. This surplus occurs because the SAFMR exceeds the local market rent. Landlords should be aware that this surplus is not guaranteed and depends on the individual circumstances of each tenant, including their income level and the specific utility allowances they qualify for.
To summarize, landlords in ZIP 04981 participating in the Section 8 program can expect to receive the full market rent of $1,290 for a two-bedroom apartment, with a potential surplus of $370 over the typical market rent due to the higher SAFMR. This arrangement provides financial stability and ensures landlords are compensated at or above market rates.
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.