Location: Northeastern Connecticut Planning Region, CT | Metro: Norwich-New London-Willimantic, CT MSA
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 | $1,160 |
| 1 Bedroom | $1,350 |
| 2 Bedrooms | $1,680 |
| 3 Bedrooms | $2,170 |
| 4 Bedrooms | $2,690 |
| 5 Bedrooms | $3,120 |
| 6 Bedrooms | $3,494 |
| 7 Bedrooms | $3,774 |
| 8 Bedrooms | $3,963 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,680 | $381,686 | 0.44% | F |
| 3BR | $2,170 | $459,321 | 0.47% | F |
| 4BR | $2,690 | $539,862 | 0.5% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 06384, located in Voluntown, CT, reveals key insights for potential landlords and small-portfolio investors.
The first question addresses whether the rent math works. The Fair Market Rent (FMR) for ZIP 06384 in fiscal year 2024 is set at $1,310. In comparison, the market rent based on Census ACS data stands at $1,166. This indicates that the FMR is higher than the current market rent, which could be advantageous for landlords participating in Section 8 programs as it allows them to potentially charge closer to the FMR rate.
Regarding the affordability of acquisitions, the median home value in Voluntown is $428,051. With the day DOM (Days On Market) and the percentage of homes that have had their prices cut being not available, it's challenging to assess how quickly properties sell and if sellers are willing to negotiate on price. However, the median home value provides a baseline for investment costs.
Tenant demand is another critical factor. The total population of Voluntown is 2,663, with 16.2% of residents being renters. This relatively low renter share suggests that the pool of potential tenants is limited. Given the size of the town, landlords should expect a smaller market for rental properties compared to larger urban areas.
Verdict: The rent math in Voluntown, CT, appears favorable for Section 8 landlords due to the FMR exceeding the market rent. Acquisition costs are high, with a median home value of $428,051, but without specific data on negotiation flexibility, it's difficult to determine how affordable these costs truly are. Tenant demand is modest, given the small population and low renter share, which may limit the number of potential tenants. Investors should proceed with caution, considering the town's limited rental market while weighing the benefits of higher allowable rents against the cost of property acquisition.
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.