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 | $2,000 |
| 1 Bedroom | $2,160 |
| 2 Bedrooms | $2,690 |
| 3 Bedrooms | $3,210 |
| 4 Bedrooms | $3,600 |
| 5 Bedrooms | $4,176 |
| 6 Bedrooms | $4,677 |
| 7 Bedrooms | $5,051 |
| 8 Bedrooms | $5,304 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,690 | $423,115 | 0.64% | D |
| 3BR | $3,210 | $624,949 | 0.51% | F |
| 4BR | $3,600 | $955,732 | 0.38% | F |
| 5BR | $4,176 | $1,195,432 | 0.35% | F |
U.S. Census Bureau data (2024)
The ZIP code 08852, located in Monmouth Junction, NJ, has a population of 18,062 residents. With 34.5% of the population being renters, it suggests that there is a significant but not overwhelming rental market presence. The median household income in this area stands at $133,209, which is notably high.
The average market rent in ZIP 08852 is $2,684 per month. This represents approximately 20.1% of the median household income, indicating that typical rents consume a relatively small portion of local incomes. This percentage is calculated by dividing the market rent ($2,684) by the annual median household income ($133,209), then multiplying by 12 months to adjust for yearly income distribution.
Comparing the market rent to the Fair Market Rent (FMR) set by HUD, which is $2,460 for FY 2024, shows that the market rent is slightly higher by $224 per month. This discrepancy implies that landlords can expect to receive rents above the FMR, reflecting the strong economic conditions and potentially high demand in the area.
In terms of Section 8 voucher utilization, the high median income and the fact that only 34.5% of the population are renters suggest that the demand for housing vouchers might be lower compared to areas with higher percentages of renters and lower median incomes. However, the presence of any number of voucher holders in the area could still provide a stable tenant pool for landlords willing to participate in the Section 8 program.
A landlord in Monmouth Junction should expect tenants who are likely to be financially secure given the high median income. While the rental market is substantial, it is not dominated by low-income households. Tenants using Section 8 vouchers will find the rent affordable, as the FMR is below the market rent, ensuring that the cost of living is manageable for those receiving assistance.
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.