Location: Hartford-West Hartford-East Hartford, CT | Metro: Hartford-West Hartford-East Hartford, CT MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,340 |
| 1 Bedroom | $1,540 |
| 2 Bedrooms | $1,930 |
| 3 Bedrooms | $2,300 |
| 4 Bedrooms | $2,540 |
| 5 Bedrooms | $2,946 |
| 6 Bedrooms | $3,300 |
| 7 Bedrooms | $3,564 |
| 8 Bedrooms | $3,742 |
The investment landscape in ZIP 06143 for Section 8 landlords and small-portfolio investors presents several challenges that must be addressed. Firstly, tenant turnover is a significant concern, as the market rent is currently unknown compared to the $1650 Fair Market Rent (FMR) set for fiscal year 2024. This discrepancy can lead to higher costs associated with finding and screening new tenants, which impacts profitability.
Vacancy exposure is another critical issue. The average days on market (DOM) for rental properties in this area is also unknown, making it difficult to predict how long a property might remain vacant. Vacancies can significantly reduce cash flow and increase the financial burden on landlords due to non-payment of rent.
Deferred maintenance is a potential risk factor as well. Without knowing the typical home value and median income in ZIP 06143, it's challenging to gauge the likelihood of deferred maintenance issues arising. These problems can be costly to resolve and may require substantial upfront investments, affecting overall returns.
However, the high concentration of renters in the area—though the exact percentage is not available—typically indicates strong demand for housing vouchers. High renter density often correlates with a robust pool of potential tenants who qualify for Section 8 assistance, thereby mitigating some of the risks associated with vacancy and turnover.
In summary, despite the uncertainties regarding market rent, days on market, and home values, the presence of a large renter population suggests a moderate risk level for a first-time Section 8 landlord in ZIP 06143.
Data Sources: FMR data from HUD (2027).
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.