Section 8 Fair Market Rent (FMR) for ZIP 06144 - 2027

FY 2027 Fair Market Rent Rates

The ZIP code 06144 in Unknown, CT, presents several challenges for landlords considering Section 8 investments. Tenant turnover can be problematic when comparing the market rent, which is currently unavailable, to the Fair Market Rent (FMR) of $1650 set for fiscal year 2024. High turnover rates can lead to increased costs associated with finding new tenants and maintaining the property.

Vacancy exposure is another significant concern due to the unknown number of days on market (DOM). This uncertainty makes it difficult to predict how long a unit might remain vacant between tenancies, potentially leading to periods of reduced cash flow. Additionally, the lack of data on the typical home value and median income in the area means that landlords cannot accurately assess the potential for deferred maintenance issues. Properties in areas with lower incomes or higher vacancy rates often face greater risks of neglect, which can increase repair and maintenance expenses.

Despite these risks, the ZIP code 06144 has a high renter share, though the exact percentage is not available. Generally, a high renter density indicates a robust demand for rental properties, including those that accept Section 8 vouchers. This demand can help mitigate some of the risks associated with vacancy and turnover, as there is likely to be a steady stream of potential tenants interested in subsidized housing options.

Verdict: Moderate risk for a first-time Section 8 landlord in ZIP 06144.

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.