Location: Baltimore-Columbia-Towson, MD | Metro: Baltimore-Columbia-Towson, MD MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,510 |
| 1 Bedroom | $1,610 |
| 2 Bedrooms | $1,990 |
| 3 Bedrooms | $2,490 |
| 4 Bedrooms | $2,770 |
| 5 Bedrooms | $3,213 |
| 6 Bedrooms | $3,599 |
| 7 Bedrooms | $3,887 |
| 8 Bedrooms | $4,081 |
U.S. Census Bureau data (2024)
ZIP code 21023, located in Butler, Maryland, within the Baltimore-Columbia-Towson MSA, is best suited as an appreciation play within a Section 8 portfolio strategy. The median home value in the broader Baltimore-Columbia-Towson Metro Area is $359,900, while the Fair Market Rent (FMR) for ZIP 21023 is set at $1890 for FY 2024. Given the limited market data available for ZIP 21023 specifically, we can infer trends from the broader MSA.
The appreciation rate in the Baltimore-Columbia-Towson Metro Area is notably high at 9.68%, surpassing the national average of 8.27%. This indicates a strong potential for capital gains over time. Additionally, the median income in ZIP 21023 is $84,474, which supports a robust rental market and suggests a stable tenant base.
The housing market in this area is characterized by older properties; the median age of homes in the MSA is 44 years. Despite this, the recent construction activity is minimal, with only 0.1% of the housing stock being built in 2014 or later. This scarcity of new builds contributes to the upward pressure on home values, making it an attractive investment for those seeking long-term appreciation.
In conclusion, ZIP 21023 is an ideal appreciation play due to its high median home value, strong historical appreciation rates, and stable median income levels. These factors suggest that investments here will likely yield significant capital gains over time, making it a valuable addition to any Section 8-focused real estate portfolio.
Data Sources: FMR data from HUD (2027). 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.