Location: Middlesex-Somerset-Hunterdon, NJ | Metro: Middlesex-Somerset-Hunterdon, 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 | $1,700 |
| 1 Bedroom | $1,840 |
| 2 Bedrooms | $2,290 |
| 3 Bedrooms | $2,730 |
| 4 Bedrooms | $3,060 |
| 5 Bedrooms | $3,550 |
| 6 Bedrooms | $3,976 |
| 7 Bedrooms | $4,294 |
| 8 Bedrooms | $4,509 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,290 | $434,609 | 0.53% | F |
| 3BR | $2,730 | $591,796 | 0.46% | F |
| 4BR | $3,060 | $848,542 | 0.36% | F |
| 5BR | $3,550 | $1,002,720 | 0.35% | F |
U.S. Census Bureau data (2024)
The classification of ZIP 08822 (Flemington, NJ) on the axes of yield and stability reveals a moderate cash flow potential with some risk factors. The Fair Market Rent (FMR) for ZIP 08822 in fiscal year 2024 is set at $2,160. This is notably below the market rent of $2,465, indicating a slight opportunity for higher-than-average rental yields if the market rent can be achieved. However, the median home value of $641,373 suggests that property acquisition costs are relatively high, which could diminish overall returns on investment.
On the stability axis, the ZIP code shows a mixed profile. With only 19.1% of residents being renters, there's a limited pool of potential tenants, which could make it harder to maintain consistent occupancy rates. The lack of available data on days on market (DOM) means we cannot assess how quickly properties are rented out, adding an element of uncertainty. However, the median household income of $137,788 is quite robust, implying that those who do rent in the area have a strong ability to pay their rent on time, which contributes positively to stability.
Given these figures, ZIP 08822 is best classified as a steady-cashflow zone with moderate yield potential. The high median income supports timely rent payments, but the low percentage of renters and the high cost of property acquisition temper the overall yield. Landlords and small-portfolio investors should expect a stable but not exceptionally high return environment. This area is suitable for those looking for reliable cash flow rather than quick flips or extremely high yields.
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.