Section 8 Fair Market Rent (FMR) for ZIP 08260 - 2027

Location: Cape May County, NJ | Metro: Cape May County, NJ HUD Metro FMR Area

Investment Score for ZIP 08260

F
Monthly Rent (2BR)
$1,620
Median Price (2BR)
$465,087
1% Rule
0.35%
Annual Yield
4.18%

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$1,290
1 Bedroom$1,300
2 Bedrooms$1,620
3 Bedrooms$2,160
4 Bedrooms$2,170
5 Bedrooms$2,517
6 Bedrooms$2,819
7 Bedrooms$3,045
8 Bedrooms$3,197

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
1BR $1,300 $313,310 0.41% F
2BR $1,620 $465,087 0.35% F
3BR $2,160 $686,738 0.31% F
4BR $2,170 $903,399 0.24% F
5BR $2,517 $1,130,850 0.22% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
12,959
Median Household Income
$79,699
Housing Units
23,064
Renter Percentage
31.2%
Occupancy Rate
30.8%
Renter Occupied
2,215

The ZIP code 08260, located in Wildwood, NJ, has a population of 12,959 residents. With 31.2% of the population being renters, it indicates a moderate renter presence rather than a heavy one. The median household income in this area stands at $79,699, which provides context for evaluating the affordability of housing.

The market rent for the area is $1,072 per month. This represents approximately 13.4% of the median household income when calculated annually. However, comparing this to the Fair Market Rent (FMR) set at $1400 for FY 2024, it's clear that the actual market rent is below the benchmark FMR, suggesting that there is potential for deeper voucher utilization. The discrepancy between the actual market rent and the FMR indicates that landlords could attract tenants using Section 8 vouchers without significantly undercutting the local rental rates.

Given the income levels and the current market rent, landlords in ZIP 08260 can expect a tenant pool that is capable of affording rents that are slightly higher than the market average but still within the range of what is considered affordable based on the median income. The typical Section 8 tenant would likely be someone who benefits from the voucher program to make up the difference between the market rent and their ability to pay, which is around 30% of their adjusted income.

In conclusion, while ZIP 08260 is not dominated by renters, it does have a significant portion of the population relying on rentals, and the income levels suggest that tenants utilizing Section 8 vouchers would find the $1,072 market rent relatively manageable. Landlords should anticipate a tenant base that values the stability and affordability provided by the voucher program, with a preference for properties that offer decent amenities and are well-maintained, given the slight gap between market rent and the FMR.

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.