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 | $1,870 |
| 1 Bedroom | $2,060 |
| 2 Bedrooms | $2,540 |
| 3 Bedrooms | $3,260 |
| 4 Bedrooms | $3,610 |
| 5 Bedrooms | $4,188 |
| 6 Bedrooms | $4,691 |
| 7 Bedrooms | $5,066 |
| 8 Bedrooms | $5,319 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,540 | $517,033 | 0.49% | F |
| 3BR | $3,260 | $582,138 | 0.56% | F |
| 4BR | $3,610 | $603,638 | 0.6% | F |
U.S. Census Bureau data (2024)
The potential pitfalls for a Section 8 landlord in ZIP 08758, Waretown, NJ, begin with tenant turnover. The market rent stands at $1,202, while the Fair Market Rent (FMR) for FY 2024 is set at $2,030. This gap can lead to higher turnover rates as tenants might struggle to afford the difference between the two figures, which can be significant for families relying on vouchers.
Vacancy exposure is another concern. With no available data on the average days on market (DOM), it's difficult to predict how quickly a vacant unit can be filled. In areas with high competition for rental properties, vacancies can persist longer, leading to financial strain on the landlord.
Deferred maintenance is also a risk factor. Given the typical home value of $543,083 and a median income of $96,900, landlords must be prepared for the possibility that some tenants might not prioritize property upkeep. This could result in higher repair costs over time, especially if the landlord is not proactive about maintenance.
However, these risks are tempered by the high concentration of renters in Waretown, with a 12.8% renter share. High renter density often correlates with increased demand for housing vouchers, making it easier to find tenants who can reliably pay their rent through the Section 8 program. This demand can stabilize occupancy rates and reduce the likelihood of prolonged vacancies.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.