Section 8 Fair Market Rent (FMR) for ZIP 07504 - 2027
Location: Bergen-Passaic, NJ | Metro: Bergen-Passaic, NJ HUD Metro FMR Area
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $1,480 |
| 1 Bedroom | $1,660 |
| 2 Bedrooms | $1,910 |
| 3 Bedrooms | $2,320 |
| 4 Bedrooms | $2,930 |
| 5 Bedrooms | $3,399 |
| 6 Bedrooms | $3,807 |
| 7 Bedrooms | $4,112 |
| 8 Bedrooms | $4,318 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$76,659
Housing Authorities Serving ZIP 07504
A landlord considering purchasing a property in ZIP code 07504 for Section 8 purposes must navigate several key factors. Here's a structured decision tree to guide the process:
- Does the Fair Market Rent (FMR) of $1,690 for fiscal year 2024 cover the debt service on a property valued at $572,291?
- No. The FMR of $1,690 does not sufficiently cover the debt service for a property priced at $572,291. Debt service typically includes mortgage payments, property taxes, insurance, and maintenance costs. Given the high property value, the FMR would likely fall short unless the debt burden is minimal.
- Is the market rent of $2,200 (ZORI) above, at, or below the FMR?
- Above. The ZORI, which stands for Zillow's Observed Rental Index, indicates that the average market rent is $2,200, significantly higher than the FMR of $1,690. This suggests that landlords could potentially earn higher rents outside of Section 8, but they must consider whether Section 8 tenants can meet the lower FMR threshold.
- Are the 59.8% renters and N/A-day days on the market (DOM) indicative of sufficient demand?
- It Depends. With 59.8% of households being renters, there is a notable rental demand in ZIP 07504. However, the lack of data on days on the market (DOM) makes it challenging to assess how quickly properties are rented out. If the DOM is low, it signals strong demand; if high, it suggests difficulties in finding tenants.
To summarize, a landlord should be cautious about investing in ZIP 07504 for Section 8 purposes due to the FMR not covering the debt service on a $572,291 property. While market rents are higher, indicating potential profitability outside of Section 8, the rental demand is significant but requires further investigation into the DOM to determine feasibility. Landlords should also factor in the administrative complexities and requirements of participating in the Section 8 program.
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.