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 | $2,660 |
| 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 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $4,150 | $934,251 | 0.44% | F |
| 4BR | $5,240 | $1,297,095 | 0.4% | F |
| 5BR | $6,078 | $1,953,925 | 0.31% | F |
U.S. Census Bureau data (2024)
The ZIP code 07624, characterized by a median household income of $190,469, presents an interesting scenario when considering rental affordability. The market rate for rentals in this area stands at $2,721 per month, according to the latest Census ACS data. This figure closely aligns with the Fair Market Rent (FMR) standard set for voucher payments, which is $2,760 for ZIP 07624 in fiscal year 2024.
Given the median income, a household in ZIP 07624 could theoretically afford the market rate rental without financial strain. However, the reality is more nuanced. With only 18.5% of the 8,606 population being renters, competition among landlords is likely to be high. This competitive landscape means landlords must consider both the attractiveness of their properties and the flexibility of their payment terms to stand out.
The affordability gap, though minimal, still exists. While the FMR for voucher payments is slightly higher than the market rate, the difference is negligible. For landlords, this means that relying on voucher payments versus cash pay might not significantly impact the bottom line. However, it's important to note that voucher tenants often come with additional administrative requirements and potential delays in payment processing.
Takeaway: Landlords in ZIP 07624 should weigh the benefits and drawbacks of accepting vouchers versus cash payments. Given the close alignment between the FMR and market rates, the decision should be based on factors such as the ease of managing voucher payments and the overall demand for affordable housing in the area. Cash-paying tenants offer immediate liquidity but might be harder to attract given the high competition. Voucher tenants provide a steady stream of income, albeit with some administrative overhead. Landlords should diversify their tenant mix to balance these considerations effectively.
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.