Location: Washington-Arlington-Alexandria, DC | Metro: Washington-Arlington-Alexandria, DC-VA-MD 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 | $2,180 |
| 1 Bedroom | $2,280 |
| 2 Bedrooms | $2,520 |
| 3 Bedrooms | $3,210 |
| 4 Bedrooms | $3,780 |
| 5 Bedrooms | $4,385 |
| 6 Bedrooms | $4,911 |
| 7 Bedrooms | $5,304 |
| 8 Bedrooms | $5,569 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,520 | $398,893 | 0.63% | D |
| 3BR | $3,210 | $721,288 | 0.45% | F |
| 4BR | $3,780 | $910,472 | 0.42% | F |
| 5BR | $4,385 | $1,326,468 | 0.33% | F |
U.S. Census Bureau data (2024)
The ZIP code 20895, located in Kensington, MD, is primarily a homeowner-dominated area rather than a renter-heavy zone. With a population of 19,184, only 21.3% of residents are renters. This indicates that the majority of the population owns their homes, suggesting that the demand for rental properties, especially those utilizing Section 8 vouchers, is relatively low.
The median household income in this ZIP is $173,625, which places it in a higher-income bracket. The market rent for the area is $2,113, which means that typical rent consumes approximately 12.16% of the local median income. This calculation is derived from dividing the market rent by the median household income and multiplying by 100. For context, the Fair Market Rent (FMR) for FY 2024 is set at $2,100, nearly matching the actual market rent.
Given the income levels and the cost of living, landlords in Kensington, MD, can expect tenants who are likely to be financially stable and capable of meeting their rent obligations without relying heavily on government assistance. While some tenants might still use Section 8 vouchers, the overall tenant pool is expected to be diverse, with many individuals able to pay market rates directly out of their income.
To summarize, ZIP 20895 is not an area with deep voucher demand due to its high median income and low percentage of renters. Landlords should anticipate a mix of tenants, but generally, they will encounter financially secure individuals who can afford the rent without significant subsidy.
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.