Location: Newark, NJ | Metro: Newark, NJ HUD Metro FMR Area
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 | $2,320 |
| 1 Bedroom | $2,620 |
| 2 Bedrooms | $3,160 |
| 3 Bedrooms | $3,940 |
| 4 Bedrooms | $4,510 |
| 5 Bedrooms | $5,232 |
| 6 Bedrooms | $5,860 |
| 7 Bedrooms | $6,329 |
| 8 Bedrooms | $6,645 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 4BR | $4,510 | $931,938 | 0.48% | F |
| 5BR | $5,232 | $1,192,546 | 0.44% | F |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP code 07058 is poised for a nuanced shift in the coming 12-24 months, driven by the interplay between home values and rental market dynamics. With a median home value currently set at $908,047, there's a clear indication of a high-end market. The absence of any significant percentage of listings being reduced suggests that sellers are maintaining their asking prices, indicating strong pricing power. This stability in listing prices, alongside the unspecified median days on market (DOM), signals that the local housing market remains resilient and that property owners can continue to command premium prices.
However, the rental market presents a different scenario. The Fair Market Rent (FMR) for ZIP 07058 for fiscal year 2024 is projected at $2780, while the Zillow Observed Rent Index (ZORI) stands at $2,805. This slight disparity between the government's estimate and the actual market suggests a minor but noticeable increase in rental rates. For landlords and small-portfolio investors, this means that rental income is likely to remain steady or slightly rise, aligning with the modest growth in ZORI.
When considering long-term investments, the appreciation thesis in ZIP 07058 is rooted in the sustained demand for high-value properties. Long-hold investors can anticipate gradual increases in property values, bolstered by the area's desirability and limited supply of homes. The median home value, coupled with the slight upward trend in rental rates, points towards a stable appreciation trajectory. Yet, it's crucial to note that rapid, double-digit growth is unlikely given the current data. Instead, the market setup implies a conservative yet reliable appreciation rate, making ZIP 07058 a solid choice for those looking to invest in a stable, high-value real estate market.
To summarize, the current median home value and the lack of price reductions indicate robust seller pricing power. The rental market shows a minor positive trend, suggesting steady income for landlords. Long-term investors can expect moderate property appreciation, driven by the area's inherent attractiveness and the consistent demand for housing. These factors collectively paint a picture of a market that will maintain its strength, albeit without explosive growth.
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.