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 | $880 |
| 1 Bedroom | $970 |
| 2 Bedrooms | $1,200 |
| 3 Bedrooms | $1,540 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,540 | $912,258 | 0.17% | F |
| 4BR | $1,700 | $1,117,259 | 0.15% | F |
| 5BR | $1,972 | $1,340,627 | 0.15% | F |
U.S. Census Bureau data (2024)
1010 is the Fair Market Rent (FMR) for ZIP 07738 as of fiscal year 2024, indicating the maximum amount Section 8 recipients can be expected to pay for housing. 685 represents the average market rent based on Census ACS data, which is significantly lower than the FMR, suggesting that there is a strong demand for rental properties in this area. The median home value in this ZIP code stands at 1006157, making it an attractive investment opportunity for those looking to enter the real estate market. 11.5 is the percentage of the population that rents their homes, highlighting a modest but steady rental market. With a median income of 189000, residents in ZIP 07738 have the financial capacity to afford higher rents, which benefits landlords and investors. The data does not provide a specific number of days on the market (DOM) or the percentage of price-cut shares, which could imply that property listings are either selling quickly or maintaining their asking prices without significant adjustments.
Investors should note that the disparity between the FMR and the average market rent provides a substantial margin for profit. Landlords can leverage the higher willingness to pay among Section 8 participants compared to the general market. Additionally, the high median home value suggests that the area is well-maintained and likely to see continued appreciation, offering long-term capital gains potential alongside rental income.
A median income of 189000 supports robust tenant stability, reducing the risk of non-payment and increasing the likelihood of timely rent collection. While the lack of DOM and price-cut share data introduces some uncertainty, the overall economic indicators point towards a favorable investment climate. The strong financial underpinnings of the local economy, combined with the reasonable market rents, make ZIP 07738 a viable option for Section 8 participation.
Based on these figures, the verdict for Section 8 participation in ZIP 07738 is positive, with ample opportunities for both rental income and property value growth.
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.