Location: Monmouth-Ocean, NJ | Metro: Monmouth-Ocean, 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 | $2,500 |
| 1 Bedroom | $2,770 |
| 2 Bedrooms | $3,420 |
| 3 Bedrooms | $4,390 |
| 4 Bedrooms | $4,860 |
| 5 Bedrooms | $5,638 |
| 6 Bedrooms | $6,315 |
| 7 Bedrooms | $6,820 |
| 8 Bedrooms | $7,161 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,420 | $628,096 | 0.54% | F |
| 3BR | $4,390 | $783,121 | 0.56% | F |
| 4BR | $4,860 | $1,216,691 | 0.4% | F |
| 5BR | $5,638 | $1,624,895 | 0.35% | F |
U.S. Census Bureau data (2024)
The Section 8 market analysis for ZIP code 07733, which encompasses Holmdel Township in Monmouth County, New Jersey, reveals a competitive landscape for landlords and small-portfolio investors. The HUD Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $2820 per month. This figure is notably lower than the market rent reported by the Census ACS, which stands at $3241 per month.
Voucher tenants in this region will only cashflow with premium units, given that the HUD FMR is approximately $421 less than the average market rent. This means landlords must offer above-average amenities or location benefits to attract tenants willing to pay the difference between the HUD FMR and the market rate. While this scenario presents a challenge, it also offers opportunities for investors who can provide high-quality housing options.
To further contextualize the rental market, consider the median home value in the area, which is $1,076,388. Using this figure, we can calculate a rent-to-price ratio of roughly 1:380. This ratio suggests that the cost of renting is relatively low compared to buying, making the rental market an attractive option for many potential tenants.
The dynamics of the local real estate market show a median Days on Market (DOM) of N/A and a price-cut share of 0.1%. These figures indicate that the housing market is stable, with few properties requiring price reductions. This stability supports the viability of the rental market, as it implies a steady demand for housing without significant fluctuations in property values.
In summary, while the HUD FMR does not support cashflow for standard units in ZIP 07733, investors focusing on premium units can achieve positive cashflow. The strong rent-to-price ratio and stable housing market make stability the strongest investor angle in this region.
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.