Section 8 Fair Market Rent (FMR) for ZIP 07737 - 2027

Location: Monmouth-Ocean, NJ | Metro: Monmouth-Ocean, NJ HUD Metro FMR Area

Investment Score for ZIP 07737

F
Monthly Rent (2BR)
$1,920
Median Price (2BR)
$506,882
1% Rule
0.38%
Annual Yield
4.55%

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$1,410
1 Bedroom$1,550
2 Bedrooms$1,920
3 Bedrooms$2,460
4 Bedrooms$2,730
5 Bedrooms$3,167
6 Bedrooms$3,547
7 Bedrooms$3,831
8 Bedrooms$4,023

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
2BR $1,920 $506,882 0.38% F
3BR $2,460 $637,163 0.39% F
4BR $2,730 $826,981 0.33% F
5BR $3,167 $964,612 0.33% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
3,945
Median Household Income
$139,318
Housing Units
1,542
Renter Percentage
10.4%
Occupancy Rate
97.5%
Renter Occupied
156

The Fair Market Rent (FMR) for ZIP code 07737, Leonardo, NJ, in fiscal year 2024 is set at $1710. This figure represents the maximum amount that a landlord can charge for rent under the Section 8 Housing Choice Voucher program. It's important to note that this is not the actual rent you'll receive; rather, it's the benchmark used to determine eligibility and voucher amounts.

In comparison, the average market rent in Leonardo, NJ, based on Census American Community Survey (ACS) data, is $1,694. This suggests that the FMR aligns closely with the local rental market, making it feasible for landlords to participate in the program without significant financial loss.

The 10.4% renter share indicates that a little over one-tenth of the population in Leonardo, NJ, are renters. While this percentage might seem low, it still translates into a substantial number of potential tenants who could benefit from the Section 8 program. The demand for affordable housing remains strong, especially among those who qualify for assistance.

If you're considering purchasing a property to use as a Section 8 rental, the median home value in the area is approximately $646,793. This figure represents a significant investment, so it's crucial to ensure that the property meets all necessary requirements for participation in the program before making an acquisition.

Before finalizing your decision to become a Section 8 landlord, verify that the property complies with the Housing Quality Standards (HQS). These standards ensure that the rental unit is safe, decent, and sanitary, which is mandatory for participation in the program. A thorough inspection by the local housing authority will confirm whether the property meets these criteria.

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.