Location: Newark, NJ | Metro: Middlesex-Somerset-Hunterdon, 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 | $2,050 |
| 1 Bedroom | $2,210 |
| 2 Bedrooms | $2,760 |
| 3 Bedrooms | $3,290 |
| 4 Bedrooms | $3,690 |
| 5 Bedrooms | $4,280 |
| 6 Bedrooms | $4,794 |
| 7 Bedrooms | $5,178 |
| 8 Bedrooms | $5,437 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,760 | $455,047 | 0.61% | D |
| 3BR | $3,290 | $584,290 | 0.56% | F |
| 4BR | $3,690 | $680,054 | 0.54% | F |
U.S. Census Bureau data (2024)
The ZIP code 07080, located in South Plainfield, NJ, falls within the Newark, NJ HUD Metro FMR Area. The Fair Market Rent (FMR) for ZIP 07080 is set at $2,460 for fiscal year 2024, while the average market rent stands at $2,556. This indicates that the market rent slightly exceeds the FMR, suggesting that landlords can expect to charge slightly above the HUD-recommended rates.
The median home value in ZIP 07080 is $583,433, which is relatively higher compared to the overall Newark, NJ HUD Metro FMR Area. However, the renter share in 07080 is 14.1%, indicating that a smaller portion of residents are renters compared to other areas in the Newark, NJ HUD Metro FMR Area.
To determine whether 07080 represents a value pocket, a mid-tier neighborhood, or a premium sub-market within its larger metro area, consider the following:
The FMR and market rent are quite close, suggesting that rents are neither excessively low nor high compared to the HUD guidelines. This places 07080 somewhere in the middle of the rental spectrum within the Newark, NJ HUD Metro FMR Area.
The median home value is notably high, indicating that it is a more expensive area to purchase property in, relative to the broader Newark, NJ HUD Metro FMR Area.
The lower-than-average renter share suggests that fewer residents are seeking rental properties, which could mean less demand for rental units and potentially higher vacancy rates.
Based on these figures, ZIP 07080 appears to be a mid-tier neighborhood within the Newark, NJ HUD Metro FMR Area. It is not a value pocket due to the higher median home value, nor is it necessarily a premium sub-market given the slightly elevated but still reasonable market rent. The key factor is the renter share, which is lower than what might be expected in a premium sub-market, suggesting that it is primarily an owner-occupied area with a modest rental presence.
No significant divergence exists between the renter share and home values that would typically signal a Section 8 sweet spot. However, the proximity of the market rent to the FMR makes it a suitable area for landlords interested in Section 8 tenants, as they can likely find a balance between the HUD guidelines and market rates.
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.