Location: Sussex County, DE | Metro: Sussex County, DE
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 | $1,680 |
| 1 Bedroom | $1,690 |
| 2 Bedrooms | $2,210 |
| 3 Bedrooms | $2,720 |
| 4 Bedrooms | $3,280 |
| 5 Bedrooms | $3,805 |
| 6 Bedrooms | $4,262 |
| 7 Bedrooms | $4,603 |
| 8 Bedrooms | $4,833 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,720 | $466,315 | 0.58% | F |
| 4BR | $3,280 | $550,760 | 0.6% | F |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP code 19967 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent based on recent Census American Community Survey (ACS) data. The FMR for the area in fiscal year 2024 is set at $1950, whereas the market rent stands at $1750. This indicates that the FMR is $200 higher than the market rent, representing an increase of approximately 11.4%.
The higher FMR compared to the market rent makes the ZIP code an attractive option for landlords and small-portfolio investors seeking to maximize their yields. Voucher tenants, who benefit from the government subsidy, provide a guaranteed income stream that aligns with the FMR rather than fluctuating with the open-market rates. This stability allows property owners to achieve a higher return on investment relative to the local rental market conditions.
In the context of ZIP 19967, where only 5.4% of the population are renters and the median home value is $495,020, the appeal of Section 8 tenancy is clear. With a median household income of $98,301, many residents can afford to purchase homes, leaving fewer individuals to compete in the rental market. As a result, the demand for rental properties is lower, making the fixed-income offered by Section 8 vouchers particularly valuable.
Landlords should consider the long-term benefits of accepting Section 8 tenants, including the potential for steady cash flow and reduced vacancy rates. While there might be some administrative overhead associated with managing voucher-based tenancy, the overall financial advantages outweigh these costs in a low-renter density area like ZIP 19967.
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.