Section 8 Fair Market Rent (FMR) for ZIP 06422 - 2027
Location: New Haven, CT | Metro: Hartford-West Hartford-East Hartford, CT MSA
Investment Score for ZIP 06422
F
Monthly Rent (2BR)
$2,140
Median Price (2BR)
$379,712
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $1,470 |
| 1 Bedroom | $1,700 |
| 2 Bedrooms | $2,140 |
| 3 Bedrooms | $2,560 |
| 4 Bedrooms | $2,900 |
| 5 Bedrooms | $3,364 |
| 6 Bedrooms | $3,768 |
| 7 Bedrooms | $4,069 |
| 8 Bedrooms | $4,272 |
Investment Analysis by Bedroom Size
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms |
Monthly FMR |
Median Price |
1% Rule |
Grade |
| 2BR |
$2,140 |
$379,712 |
0.56% |
F |
| 3BR |
$2,560 |
$479,945 |
0.53% |
F |
| 4BR |
$2,900 |
$616,397 |
0.47% |
F |
| 5BR |
$3,364 |
$700,422 |
0.48% |
F |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$158,857
To decide whether you should buy in ZIP code 06422 (Durham, CT) for Section 8 investments, follow these steps:
- Step 1: Can FMR ($2,120) cover debt service on a $494,024 property?
- Yes: If the fair market rent (FMR) of $2,120 per month is sufficient to cover the monthly mortgage payments and other expenses associated with owning a $494,024 property, then you can proceed to the next step. This indicates that the rental income from a Section 8 tenant would be adequate to meet financial obligations.
- No: If the FMR does not cover the debt service, then purchasing a property in Durham, CT for Section 8 is not financially viable at this price point. You must either look for properties priced lower or consider areas where the FMR is higher.
- Step 2: How does the market rent ($1,154) compare to the FMR?
- Above FMR: If the market rent exceeds the FMR, Durham, CT offers an opportunity to earn more than the Section 8 payment when renting to non-Section 8 tenants. However, this also suggests that there might be fewer tenants eligible for the Section 8 program due to higher market rents.
- At FMR: When market rent equals the FMR, the rental income aligns with the Section 8 payment. This scenario provides stable cash flow but limits potential for higher rents outside of the program.
- Below FMR: If the market rent is below the FMR, Section 8 tenants will pay a higher rate compared to the average market. This could attract more Section 8 tenants, making it easier to fill vacancies.
- Step 3: Is there enough demand for Section 8 units?
- It Depends: With 6.8% of the population being renters and the day DOM (Days on Market) being listed as N/A, it's challenging to make a definitive judgment. The percentage of renters is relatively low, which might indicate less demand overall. However, without knowing the DOM, it's unclear how quickly rental properties are typically filled. If the DOM is short, this suggests strong demand despite the low percentage of renters.
In conclusion, the viability of purchasing a property in Durham, CT for Section 8 investment hinges on the ability of the FMR to cover debt service and the comparative analysis between market rent and FMR. The demand for Section 8 units is uncertain due to limited data on DOM, but the relatively low percentage of renters might suggest weaker demand.
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.