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 | $2,490 |
| 1 Bedroom | $2,790 |
| 2 Bedrooms | $3,200 |
| 3 Bedrooms | $3,890 |
| 4 Bedrooms | $4,910 |
| 5 Bedrooms | $5,696 |
| 6 Bedrooms | $6,380 |
| 7 Bedrooms | $6,890 |
| 8 Bedrooms | $7,235 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 5BR | $5,696 | $4,511,728 | 0.13% | F |
U.S. Census Bureau data (2024)
The market dynamics in ZIP code 07620 reveal a region in flux, characterized by the interplay between supply and demand. The Fair Market Rent (FMR) for the area stands at $2,620 for fiscal year 2024, while the average market rent, as per Census ACS data, is slightly higher at $2,750. This suggests that the market is currently pricing rents above the government's benchmark, indicating a robust rental environment.
The median home value in ZIP 07620 is notably high at $3,050,582, which points towards an affluent neighborhood where homeownership is prevalent. However, the relatively low renter share of 7.3% implies that a significant majority of residents own their homes rather than renting. This low percentage of renters can be indicative of long-term housing pressure, as it suggests a preference for owning over renting, possibly due to stable job markets and economic conditions that support homeownership.
The absence of data on price-cut shares and days on the market (DOM) means we cannot precisely quantify the current supply-demand balance. Nevertheless, the fact that market rents exceed FMR and the high median home value suggest that demand for both rentals and purchases might be strong relative to supply, driving up prices and rents. In such a scenario, landlords and small-portfolio investors could expect steady demand for rental properties, although the competition for tenants may also be intense.
The overall picture paints ZIP 07620 as a market where demand appears to be holding its ground against supply, particularly in the rental sector. For investors, this could mean a consistent stream of potential tenants willing to pay above-average rents, but also a need to maintain competitive pricing and quality to attract and retain them.
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.