Location: Philadelphia-Camden-Wilmington, PA | Metro: Philadelphia-Camden-Wilmington, PA-NJ-DE-MD MSA
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 | $2,090 |
| 2 Bedrooms | $2,500 |
| 3 Bedrooms | $2,980 |
| 4 Bedrooms | $3,290 |
| 5 Bedrooms | $3,816 |
| 6 Bedrooms | $4,274 |
| 7 Bedrooms | $4,616 |
| 8 Bedrooms | $4,847 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,500 | $293,879 | 0.85% | C |
| 3BR | $2,980 | $487,835 | 0.61% | D |
| 4BR | $3,290 | $654,591 | 0.5% | F |
| 5BR | $3,816 | $754,115 | 0.51% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 08003, which includes Cherry Hill, NJ, and parts of Camden County, revolve around the SAFMR (Small Area Fair Market Rent) and the local market rent rates. For a two-bedroom apartment, the SAFMR for FY 2024 is set at $2,610. This figure represents the maximum amount that the Housing Choice Voucher program will pay for rent in this specific ZIP code. The local market rent, as measured by ZORI (Zillow Observed Rent Index), is currently at $2,930 for a similar unit.
A landlord participating in the Section 8 program should understand that the voucher payment is not the only source of income. Tenants contribute a portion of their income towards rent, typically 30% of their adjusted monthly income. As of the latest guidelines, if the tenant's portion plus the utility allowances do not cover the full SAFMR, the landlord will receive the difference from the government to ensure the total rental payment equals $2,610. However, if the tenant's contribution exceeds the SAFMR, the excess goes directly to the landlord without any additional government subsidy.
In ZIP 08003, landlords can expect a reimbursement gap when comparing the SAFMR to the local market rent. Given the SAFMR of $2,610 and the local market rent at $2,930, there is a discrepancy of $320 per month. This means that landlords accepting Section 8 vouchers for a two-bedroom unit will see a shortfall of $320 compared to renting the same property on the open market.
To illustrate further:
Therefore, landlords in ZIP 08003 must consider this economic reality when deciding whether to participate in the Section 8 program. The typical reimbursement gap for a two-bedroom unit is a shortfall of $320 per month.
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.