Location: Bergen-Passaic, NJ | Metro: Bergen-Passaic, 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 | $2,060 |
| 1 Bedroom | $2,310 |
| 2 Bedrooms | $2,650 |
| 3 Bedrooms | $3,220 |
| 4 Bedrooms | $4,060 |
| 5 Bedrooms | $4,710 |
| 6 Bedrooms | $5,275 |
| 7 Bedrooms | $5,697 |
| 8 Bedrooms | $5,982 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,650 | $476,607 | 0.56% | F |
| 3BR | $3,220 | $577,774 | 0.56% | F |
| 4BR | $4,060 | $650,359 | 0.62% | D |
U.S. Census Bureau data (2024)
ZIP 07465, located in Wanaque, NJ, is an ideal cash-flow anchor for a Section 8 portfolio strategy. The Family Monthly Rent (FMR) for the Bergen-Passaic, NJ HUD Metro FMR Area for fiscal year 2024 is set at $2310. This figure stands above the market median rent of $1990, providing a consistent income stream that exceeds the typical rental rates in the area.
The spread between the FMR and the market median rent is $320 per month. This means that landlords can expect a higher guaranteed rent payment from Section 8 tenants compared to market-rate rentals, enhancing their cash flow stability. The median home value in ZIP 07465 is $518,220, indicating a relatively affluent neighborhood where property values are likely to remain steady or appreciate gradually over time.
Despite the strong potential for cash flow, the ZIP code also offers some diversification benefits. With a 16.2% renter share, there is a significant portion of the population that does not own homes, making rental properties an attractive option for many. Additionally, the median household income is $115,159, which suggests that even outside of Section 8, there is a robust demand for rental properties due to the high cost of homeownership relative to income levels.
However, the primary focus should be on the cash-flow anchor role given the clear financial advantage provided by the FMR. The 0.2% price-cut share and the N/A-day Days on Market (DOM) indicate that properties in this ZIP code do not typically require significant discounts or extended listing periods to attract tenants, further supporting its suitability as a reliable income generator.
In summary, ZIP 07465 should be considered a cash-flow anchor within a Section 8 portfolio strategy, leveraging the $320 monthly spread between the FMR and market median rent to ensure stable and predictable income. While it offers some diversification through its renter share and median income, the most compelling argument lies in its ability to provide a solid financial foundation for landlords and small-portfolio investors.
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.