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 | $1,930 |
| 1 Bedroom | $2,170 |
| 2 Bedrooms | $2,500 |
| 3 Bedrooms | $3,050 |
| 4 Bedrooms | $3,880 |
| 5 Bedrooms | $4,501 |
| 6 Bedrooms | $5,041 |
| 7 Bedrooms | $5,444 |
| 8 Bedrooms | $5,716 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $3,050 | $769,411 | 0.4% | F |
| 4BR | $3,880 | $924,513 | 0.42% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 07630 stands at $155,536, positioning residents comfortably above the national average. However, when it comes to rental affordability, the picture becomes more nuanced. The market rate for rentals, according to Census ACS data, is $1,887 per month. This amount represents a significant portion of the median income, but it remains within reach for many households. Despite this, the Federal Market Rent (FMR) standard set for ZIP code 07630 for fiscal year 2024 is $2,440, which is notably higher than the market rate.
Given that only 8.2% of the 7,305 population are renters, competition among landlords is relatively low. However, the disparity between the market rate and the FMR suggests that voucher holders might struggle to find units within their budget, especially if landlords are pricing their properties closer to the FMR. This scenario creates an affordability gap where renters with vouchers may have limited options, while those paying out-of-pocket can choose from a wider range of properties.
The takeaway for landlords is clear: understanding the local rental dynamics and the financial capabilities of potential tenants is crucial. If landlords aim to attract voucher holders, they must ensure their rents align with the FMR of $2,440 to qualify for subsidies. Conversely, landlords who prefer cash-paying tenants should consider setting rents around the market rate of $1,887 to remain competitive and appeal to the majority of financially stable households in the area.
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.