Location: Baltimore-Columbia-Towson, MD | Metro: Baltimore-Columbia-Towson, MD 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 | $1,990 |
| 1 Bedroom | $2,110 |
| 2 Bedrooms | $2,570 |
| 3 Bedrooms | $3,220 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 4BR | $3,610 | $871,141 | 0.41% | F |
U.S. Census Bureau data (2024)
ZIP 20776, located within the Baltimore-Columbia-Towson, MD MSA metro area, is best suited as an appreciation play in a Section 8 portfolio strategy. The lack of available market rental rates makes it difficult to assess its viability purely as a cash-flow anchor; however, the high median home value of $761,994 suggests that this area has strong potential for property value growth.
The median family income in ZIP 20776 is $149,300, which indicates a relatively affluent neighborhood. This economic prosperity supports the idea that housing values are likely to appreciate over time, making it an attractive location for long-term investment. While the exact percentage for price-cut share and days on market (DOM) is not provided, typically, areas with higher median incomes experience less volatility in real estate markets and enjoy steady appreciation.
A cash-flow anchor would require a significant spread between the Fair Market Rent (FMR) of $2490 for fiscal year 2024 and the actual market rental rates. However, since the market rental rate is not specified, we cannot definitively state that ZIP 20776 provides a strong cash flow. Instead, the focus should be on capital appreciation and the long-term stability of the area.
ZIP 20776 also features a 5.7% renter share, indicating that the majority of residents own their homes. This low rental share implies a smaller pool of potential tenants but also suggests that homeownership is valued in the community, contributing to its overall desirability and potential for future value increases.
In summary, while ZIP 20776 does not stand out as a cash-flow anchor due to the absence of comparative market rental rates, its characteristics align well with an appreciation play. The combination of high median home values and median income levels points to a robust real estate market that can provide solid returns through property appreciation over time.
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.