Location: Newark, NJ | Metro: Newark, NJ HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,690 |
| 1 Bedroom | $1,910 |
| 2 Bedrooms | $2,300 |
| 3 Bedrooms | $2,870 |
| 4 Bedrooms | $3,280 |
| 5 Bedrooms | $3,805 |
| 6 Bedrooms | $4,262 |
| 7 Bedrooms | $4,603 |
| 8 Bedrooms | $4,833 |
U.S. Census Bureau data (2024)
43.6% of residents in ZIP code 07109 (Belleville, NJ) are renters, indicating a significant demand for rental properties in the area. This statistic aligns well with the $2,151 average market rent, known as the ZORI, which shows that tenants are willing to pay a substantial amount for housing. Landlords can leverage this data to set competitive rents that attract tenants while also ensuring profitability.
The $514,815 median home value in Belleville suggests a robust real estate market where property investments can yield high returns. For those interested in long-term investments, this figure provides a benchmark for the potential appreciation of residential assets in the area. Additionally, the $2,151 ZORI compared to the $2,010 Fair Market Rent (FMR) for ZIP 07109 indicates that market rents are above the government-set threshold, offering an opportunity for landlords to charge premium rates without violating federal guidelines.
Investors should note that the median income of $90,438 in ZIP 07109 supports higher rental prices, as it implies that tenants have the financial capacity to afford these rates. However, the 27-day Days on Market (DOM) and the 0.1% price-cut share suggest that the rental market is efficient and that properties are likely to be rented quickly without the need for significant discounts, which is a positive sign for cash flow stability.
In conclusion, the combination of a strong rental demand at 43.6%, a median home value of $514,815, and a median income of $90,438, along with quick rental times and minimal price-cutting, makes ZIP code 07109 a favorable investment location for Section 8 properties. The $2,010 FMR is below the market rate, allowing landlords to participate in the Section 8 program while still maintaining competitive rents.
Verdict: ZIP 07109 presents a solid opportunity for Section 8 investments, supported by strong local economics and efficient rental markets.
Data Sources: FMR data from HUD (2027). 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.