Location: Dover, DE | Metro: Dover, DE MSA
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 | $1,200 |
| 1 Bedroom | $1,210 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $2,090 |
| 4 Bedrooms | $2,420 |
| 5 Bedrooms | $2,807 |
| 6 Bedrooms | $3,144 |
| 7 Bedrooms | $3,396 |
| 8 Bedrooms | $3,566 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,520 | $250,440 | 0.61% | D |
| 3BR | $2,090 | $356,437 | 0.59% | F |
U.S. Census Bureau data (2024)
The market in ZIP code 19954, located in Houston, DE, presents a dynamic equilibrium between supply and demand, though the balance leans slightly towards demand outpacing supply. This inference is drawn from the Fair Market Rent (FMR) of $1270, which is set for the fiscal year 2024, and the market rent of $1,250 as reported by the Census American Community Survey (ACS). The fact that the FMR is higher than the market rent suggests that there is some upward pressure on rental prices, indicating a potential shortage of affordable units.
The median home value of $346,951 provides insight into the overall economic conditions of the area. While this figure is static, it can be used to gauge the financial health of homeowners and the general property values. In a market where the median home value is relatively stable, it often reflects a balanced economy with consistent income levels among residents.
A notable characteristic of this market is the 18.1% share of renters. This percentage is significant because it indicates a substantial portion of the population relies on rental housing. Over the long term, a higher renter share can suggest sustained housing pressure, as renters often represent individuals and families who are unable to purchase homes due to various constraints such as affordability or credit issues. This implies that there will likely be a continuous need for rental properties, making it an attractive market for landlords and small-portfolio investors.
The lack of specific data on price-cut share and days on market (DOM) means we cannot definitively state whether the market is currently experiencing a glut of inventory or a scarcity. However, the close alignment between the FMR and market rent suggests that the market is adjusting to maintain a balance. If rental prices were significantly lower than the FMR, it could indicate an oversupply of rental units, but since they are nearly equal, it suggests a tight market where demand closely matches supply.
In conclusion, ZIP 19954 represents a market in flux, with demand for rental properties exerting upward pressure on rents. The significant renter share points to ongoing housing challenges, making it a resilient market for those invested in rentals. Landlords and small-portfolio investors should expect steady occupancy rates and rental income, given the current dynamics.
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.