Section 8 Fair Market Rent (FMR) for ZIP 06856 - 2027

FY 2027 Fair Market Rent Rates

The economics of Section 8 housing in ZIP code 06856, which includes parts of Bridgeport, Connecticut, can be quite straightforward when understood correctly. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for fiscal year 2024 is set at $2310. This figure is crucial because it directly influences the maximum amount that a Section 8 housing voucher will cover.

When a landlord enters into a Section 8 agreement for a two-bedroom unit, they should expect the following payment structure:

• The tenant is responsible for paying approximately 30% of their income towards rent. For example, if a tenant's monthly income is $1500, they would pay $450 towards rent.
• The remaining balance up to the SAFMR is covered by the housing authority. In our example, the housing authority would pay the difference between the tenant's contribution and the SAFMR, which is $2310 - $450 = $1860.
• Utility allowances are separate and vary depending on the type of utilities required. These allowances do not increase the overall SAFMR but are additional payments made to the tenant or landlord, as specified in the lease agreement.

Given the SAFMR of $2310, landlords need to ensure that their rent pricing does not exceed this amount to avoid losing potential tenants who rely on vouchers. However, the local market rent for ZIP 06856 is currently listed as N/A, which means there isn't enough data to provide an accurate comparison against the SAFMR. This lack of information could indicate that the local rental market either closely aligns with the SAFMR or has significant variability that isn't captured in the available data.

To summarize the typical reimbursement scenario for a two-bedroom apartment, landlords can expect to receive the SAFMR of $2310 minus the tenant's contribution based on their income. If the local market rent were known and lower than the SAFMR, landlords might see a surplus where the voucher covers more than the market rate. Conversely, if the market rent were higher, landlords would face a gap where the voucher does not fully cover the market price.

In ZIP 06856, the exact reimbursement gap or surplus cannot be determined without specific local market rent data. Landlords should monitor local trends and consult with the local housing authority for precise guidance on how to navigate these economic factors effectively.

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.