Location: Northeastern Connecticut Planning Region, CT | Metro: Northeastern Connecticut Planning Region, CT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,070 |
| 1 Bedroom | $1,180 |
| 2 Bedrooms | $1,470 |
| 3 Bedrooms | $1,870 |
| 4 Bedrooms | $2,100 |
| 5 Bedrooms | $2,436 |
| 6 Bedrooms | $2,728 |
| 7 Bedrooms | $2,946 |
| 8 Bedrooms | $3,093 |
U.S. Census Bureau data (2024)
The ZIP code 06262, located in Connecticut, presents a dynamic rental market that is currently defined by the Federal Market Rent (FMR) set at $1510 for fiscal year 2024. This figure serves as a benchmark for the Housing Choice Voucher program, commonly known as Section 8, indicating the maximum amount landlords can charge for their properties under the program.
Despite the absence of specific market rent data, the gap between the FMR and the actual market rates often highlights the underlying economic pressures. When the FMR is lower than the prevailing market rents, it suggests that demand for affordable housing may be outpacing the supply, creating a scenario where landlords might find it challenging to attract tenants willing to pay the FMR. Conversely, if the market rents were available and matched or were below the FMR, it would imply a more balanced market or even a surplus of affordable units.
The 4.8% renter share in ZIP 06262 points towards a predominantly owner-occupied area. However, this relatively low percentage of renters also indicates a persistent long-term housing pressure. In such markets, a small shift in the balance between renters and homeowners can significantly impact rental demand. If more residents choose to rent due to economic factors, housing pressure could intensify, leading to upward pressure on rents.
The lack of data on price-cut shares and days on market (DOM) makes it difficult to draw definitive conclusions about the immediate supply-demand relationship. However, given the low renter share, it's reasonable to infer that there may be limited incentives for landlords to reduce rents or offer discounts to attract tenants. This suggests a market where landlords maintain a firm stance on pricing, reflecting confidence in the ability to find tenants willing to meet their terms.
In summary, ZIP 06262 operates within a context where the demand for affordable housing, as represented by the Section 8 program, is met by a federal standard ($1510 FMR). The low renter share of 4.8% implies a stable but potentially pressured environment for rental housing, especially sensitive to changes in local economic conditions or shifts in resident preferences toward renting over owning.
Data Sources: FMR data from HUD (2027). 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.