Location: Bridgeport-Stamford-Danbury, CT | Metro: Bridgeport-Stamford-Danbury, 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 | $1,860 |
| 1 Bedroom | $2,310 |
| 2 Bedrooms | $2,670 |
| 3 Bedrooms | $3,200 |
| 4 Bedrooms | $3,980 |
| 5 Bedrooms | $4,617 |
| 6 Bedrooms | $5,171 |
| 7 Bedrooms | $5,585 |
| 8 Bedrooms | $5,864 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,310 | $274,857 | 0.84% | C |
| 2BR | $2,670 | $467,762 | 0.57% | F |
| 3BR | $3,200 | $714,195 | 0.45% | F |
| 4BR | $3,980 | $939,896 | 0.42% | F |
| 5BR | $4,617 | $1,163,224 | 0.4% | F |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 landlord investing in ZIP code 06850 in Norwalk, CT, include higher tenant turnover due to the gap between the market rent of $2,655 and the Fair Market Rent (FMR) of $2,630 for fiscal year 2024. This slight disparity can lead to dissatisfaction among tenants who might prefer market-rate apartments, increasing the likelihood of frequent moves. Additionally, there is significant exposure to vacancies since the days on market (DOM) data is not available, indicating unpredictable vacancy rates. The deferred maintenance risk is also notable, with a typical home value of $627,934 and a median income of $123,633, suggesting that many residents might struggle to afford substantial upkeep costs.
However, these risks are tempered by the high concentration of renters in the area, which stands at 45.9%. High renter density generally translates into a robust demand for rental properties, including those accepting Section 8 vouchers. This demand can help mitigate the risk of vacancies and ensure a steady stream of tenants willing to accept the FMR.
Verdict: Moderate risk for a first-time Section 8 landlord.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.