Location: Atlantic City-Hammonton, NJ | Metro: Atlantic City-Hammonton, 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 | $1,230 |
| 1 Bedroom | $1,400 |
| 2 Bedrooms | $1,700 |
| 3 Bedrooms | $2,330 |
| 4 Bedrooms | $2,570 |
| 5 Bedrooms | $2,981 |
| 6 Bedrooms | $3,339 |
| 7 Bedrooms | $3,606 |
| 8 Bedrooms | $3,786 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,400 | $117,429 | 1.19% | B |
| 2BR | $1,700 | $173,641 | 0.98% | C |
| 3BR | $2,330 | $272,920 | 0.85% | C |
| 4BR | $2,570 | $301,096 | 0.85% | C |
U.S. Census Bureau data (2024)
Pleasantville, NJ, in ZIP code 08232, is a modest-sized suburban community with a population of 19,887 residents. Approximately 46.3% of these residents are renters, indicating a significant demand for rental properties in the area. The median household income in this neighborhood is $53,899, which suggests a middle-class demographic. The median home value stands at $239,818, reflecting the overall affordability and accessibility of housing in the region.
Moving into the economic landscape of renting in Pleasantville, the Fair Market Rent (FMR) for the fiscal year 2024 is set at $1,540. This figure represents the benchmark for rental pricing as determined by HUD for Section 8 housing vouchers. However, the actual market rent in the area, according to the Census Bureau's American Community Survey (ACS), is lower at $1,182 per month. This discrepancy highlights an opportunity for landlords and small-portfolio investors who can offer competitive rents while still benefiting from the higher reimbursement rates provided by Section 8 vouchers.
The question then becomes whether this ZIP code suits a hands-off voucher operator or a hands-on value-add buyer. Given the substantial difference between the FMR and the market rent, it is clear that a hands-on approach would be more advantageous. Investors who actively manage their properties can leverage this gap to increase rental income and improve property values over time. They can also focus on enhancing the quality of their units to attract tenants willing to pay closer to the FMR rate, thereby maximizing their returns.
In contrast, a hands-off operator might struggle to keep up with maintenance and tenant management requirements without the financial buffer that comes from higher rents. The potential for increased income through active management makes Pleasantville, NJ a compelling choice for investors looking to engage in value-add strategies, rather than those seeking a passive investment with minimal oversight.
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.