Section 8 Fair Market Rent (FMR) for ZIP 07463 - 2027

Location: Bergen-Passaic, NJ | Metro: Bergen-Passaic, NJ HUD Metro FMR Area

Investment Score for ZIP 07463

N/A
Monthly Rent (2BR)
$3,420
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$2,660
1 Bedroom$2,980
2 Bedrooms$3,420
3 Bedrooms$4,150
4 Bedrooms$5,240
5 Bedrooms$6,078
6 Bedrooms$6,807
7 Bedrooms$7,352
8 Bedrooms$7,720

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
3BR $4,150 $762,740 0.54% F
4BR $5,240 $833,693 0.63% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
10,164
Median Household Income
$177,962
Housing Units
3,490
Renter Percentage
12.1%
Occupancy Rate
98.4%
Renter Occupied
416

ZIP code 07463 has a population of 10,164, with only 12.1% being renters. This indicates that it is primarily a homeowner-dominated area rather than a renter-heavy ZIP. The scarcity of renters suggests that the demand for Section 8 vouchers is likely limited.

The median household income in this ZIP is $177,962, which is significantly higher than the average income level. Given the market rent of $3,446, we can calculate that the typical rent consumes approximately 19.4% of the median household income. This percentage is derived from the division of the market rent by the median income, multiplied by 12 months, and then by 100 to get the percentage.

The Fair Market Rent (FMR) for ZIP 07463, as set for FY 2024, is $2,340. This figure represents the maximum amount that a Section 8 voucher holder can pay towards their rent. Comparing the FMR to the market rent shows that the FMR is about 67.9% of the market rent. This gap means that landlords in this area would need to subsidize the remaining 32.1% of the rent if they wish to attract Section 8 tenants.

In this ZIP code, landlords should expect tenants who are either on fixed incomes or those who have a strong preference for subsidized housing despite the relatively high cost of living. Due to the high median income and low percentage of renters, the pool of potential Section 8 tenants is likely to be smaller and more selective. Landlords must consider whether the financial and administrative burden of accepting Section 8 vouchers aligns with their investment strategy in this affluent area.

To summarize, ZIP 07463 is not ideal for landlords seeking a large tenant pool reliant on Section 8 vouchers. However, for those willing to accept the lower rent payments and manage the associated paperwork, there may still be opportunities to serve a niche market of tenants who require financial assistance to afford housing in this expensive location.

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.