Section 8 Fair Market Rent (FMR) for ZIP 07632 - 2027

Location: Bergen-Passaic, NJ | Metro: Bergen-Passaic, NJ HUD Metro FMR Area

Investment Score for ZIP 07632

N/A

Monthly Rent (2BR)

$3,020

Median Price (2BR)

$N/A

1% Rule

Annual Yield

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$2,350
1 Bedroom	$2,630
2 Bedrooms	$3,020
3 Bedrooms	$3,670
4 Bedrooms	$4,630
5 Bedrooms	$5,371
6 Bedrooms	$6,016
7 Bedrooms	$6,497
8 Bedrooms	$6,822

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
4BR	$4,630	$1,704,012	0.27%	F
5BR	$5,371	$2,494,040	0.22%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

5,362

Median Household Income

$230,611

Housing Units

2,079

Renter Percentage

16.5%

Occupancy Rate

96.7%

Renter Occupied

332

ZIP code 07632, located in New Jersey, is characterized by its high-end residential properties and affluent population, making it an attractive market for real estate investment. The area benefits from strong economic indicators and a robust rental market, which supports both property owners and small-portfolio investors.

The Fair Market Rent (FMR) for ZIP 07632 in fiscal year 2024 is set at $2480. This figure represents the average rent price for a two-bedroom apartment, serving as a benchmark for subsidized housing programs.
The Census Bureau's American Community Survey (ACS) reports that the market rent for a typical two-bedroom apartment in ZIP 07632 is $3,501. This indicates a premium over the FMR, suggesting strong demand and higher rental rates in the private sector.
The median home value in ZIP 07632 stands at $1,736,624, reflecting the high cost of homeownership and the overall wealth of the area.
Renters make up 16.5% of the total housing units in ZIP 07632, indicating a smaller but still significant rental market.
The median income for residents in ZIP 07632 is $230,611, which is substantially higher than the national average, supporting the ability of tenants to afford higher rents.

Given these data points, investors can expect a stable and lucrative rental market in ZIP 07632. The disparity between the FMR and the actual market rent suggests a healthy premium for private landlords. The high median home values indicate a strong local economy, while the median income figure supports the affordability of higher rents. Although the percentage of renters is relatively low, the demand for rental properties remains robust due to the area's desirability and high cost of living. Landlords and small-portfolio investors should find this ZIP code favorable for generating consistent rental income and potentially realizing capital appreciation over time.

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.