Section 8 Fair Market Rent (FMR) for ZIP 21061 - 2027

Investment Score for ZIP 21061

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,690
1 Bedroom	$1,810
2 Bedrooms	$2,230
3 Bedrooms	$2,790
4 Bedrooms	$3,100
5 Bedrooms	$3,596
6 Bedrooms	$4,028
7 Bedrooms	$4,350
8 Bedrooms	$4,568

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$2,230	$283,503	0.79%	D
3BR	$2,790	$380,240	0.73%	D
4BR	$3,100	$432,960	0.72%	D
5BR	$3,596	$464,548	0.77%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 21061 (Glen Burnie, MD) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for Glen Burnie, MD (ZIP code 21061), is set by HUD for 2026. For a two-bedroom apartment, the FMR is $2,070. However, the Zillow median price for a two-bedroom home in this area is $280,865, which translates to a price-to-FMR ratio of 11.3x. This means that the actual rent prices in the market are significantly higher than the FMR. Given that the FMR is only 28.3% of the median household income ($87,751), voucher holders face significant constraints. They can only afford apartments priced at or below $2,070, which is much lower than the typical market rate. Therefore, voucher holders may struggle to find suitable housing options within their budget, especially considering the high price-to-FMR ratio. #### Affordability & Renter Profile The population of Glen Burnie is 57,230, with 43.7% being renters. The occupancy rate is quite high at 96.1%, indicating a tight rental market. Given that the median household income is $87,751, it suggests that the majority of residents have a relatively stable financial situation. However, the high proportion of renters and the tight market conditions imply that there is a significant demand for affordable housing. The FMR for a two-bedroom unit is $2,070, which is a substantial portion of the median income. This makes it challenging for low-income households to find affordable housing without assistance. The high price-to-FMR ratio also indicates that landlords might be charging well above the FMR, making it even harder for voucher holders to secure housing. #### Investor Angle From an investor perspective, the ZIP code 21061 presents both opportunities and challenges. The FMR for a two-bedroom unit is $2,070, but the actual market rent is likely much higher given the price-to-FMR ratio. If we assume that the actual market rent is around $28,086.50 per year (based on the Zillow median price and typical rental yields), then the cash flow potential for an investor renting at FMR would be negative. To determine the investment grade, we need to consider the potential for vacancy and the competition from non-voucher tenants. With a high occupancy rate and significant demand for housing, the risk of vacancy is relatively low. However, the challenge lies in finding tenants willing to pay the FMR when they could potentially pay much more. Given the tight market and the high proportion of renters, there is a strong likelihood that the demand for Section 8 vouchers will continue to be robust. However, the investment grade is moderate due to the negative cash flow potential when renting at FMR. #### Specific Actionable Insights 1. **Focus on Affordable Units**: Investors should focus on acquiring properties that are already priced close to the FMR. This ensures a steady stream of tenants and avoids the risk of having to reduce rent to attract voucher holders. A two-bedroom unit priced at $2,070 or slightly above would be ideal. 2. **Consider Renovation Projects**: Given the high demand for affordable housing, investors might consider purchasing older properties at a lower price point and renovating them to meet the FMR requirements. This strategy can help in securing tenants who are eligible for Section 8 vouchers while still maintaining a competitive edge in the market. 3. **Engage with Local Housing Authorities**: Building relationships with local housing authorities can provide insights into the availability of vouchers and the preferences of voucher holders. This can help in tailoring property offerings to better match the needs of potential tenants. #### Bottom Line For Section 8-focused investors, the recommendation is to **Hold**. While the market is tight and there is a high demand for affordable housing, the actual rents are significantly higher than the FMR. This means that renting at FMR would result in negative cash flow. However, the robust demand for Section 8 vouchers and the high occupancy rate suggest that holding onto properties in this area could be a sound long-term strategy. Investors should carefully evaluate the potential for positive cash flow through strategic pricing and management practices.

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.