Section 8 Fair Market Rent (FMR) for ZIP 08051 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Housing Authorities Serving ZIP 08051

• Gloucester County Housing Authority (Deptford, NJ) - 2,105 Section 8 vouchers
• Glassboro Housing Authority (Glassboro, NJ) - 364 Section 8 vouchers

To determine if a landlord should invest in ZIP code 08051 (Mantua, NJ) for Section 8 properties, follow this decision tree based on the provided data:

1) Does the Fair Market Rent (FMR) of $2080 cover the debt service on a property valued at $314,660?

• Yes. The FMR is designed to ensure that rental income can cover the cost of owning and maintaining a property. At $2080 per month, this figure is sufficient to cover the average debt service on a property of this value. Landlords can expect that the rental income will meet their financial obligations.
• No. This scenario would not apply as the FMR does cover the expected debt service on a property of this value. If the FMR were lower, it might not be advisable to invest solely based on Section 8 tenants.
• It Depends. Not applicable in this case since the FMR meets the criteria to support the debt service on the property.

2) Is the market rent ($1,907 ZORI) above, at, or below the FMR?

• Above. Not applicable, as the ZORI is below the FMR of $2080. This means that landlords may find it easier to attract tenants, but they will not be able to charge more than the FMR for Section 8 units.
• At. Not applicable, as the ZORI is not equal to the FMR. However, if it were, it would indicate that the market is closely aligned with the FMR, which could mean steady demand without much pricing leverage.
• Below. The ZORI of $1,907 is below the FMR, indicating that the market rent is lower than what Section 8 allows. This suggests that landlords can potentially charge closer to the FMR and still attract tenants, making Section 8 properties more attractive in this area.

3) Are 20.5% renters and N/A-day days on market (DOM) enough demand for Section 8 properties?

• Yes. With 20.5% of residents being renters, there is a notable portion of the population that may be interested in Section 8 housing. While the DOM data is not available, the percentage of renters indicates a stable demand for rental properties, including those eligible for Section 8 subsidies.
• No. Not applicable, as the percentage of renters is sufficient. A low number of renters would make it harder to fill vacancies with Section 8 tenants.
• It Depends. Without specific DOM data, it's challenging to assess how quickly rentals are filled. However, the 20.5% of renters suggests that there is enough demand to consider investing, assuming other factors such as vacancy rates and competition are favorable.

In conclusion, for ZIP code 08051 (Mantua, NJ), the FMR of $2080 is sufficient to cover the debt service on a property valued at $314,660. The market rent being below the FMR indicates a potential advantage for landlords willing to participate in the Section 8 program. The 20.5% of residents who are renters suggests a stable demand for rental properties, making this ZIP code a viable option for landlords looking to invest in Section 8 properties.

Data Sources: FMR data from HUD (2027). 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.