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 | $1,560 |
| 1 Bedroom | $1,670 |
| 2 Bedrooms | $2,060 |
| 3 Bedrooms | $2,580 |
| 4 Bedrooms | $2,860 |
| 5 Bedrooms | $3,318 |
| 6 Bedrooms | $3,716 |
| 7 Bedrooms | $4,013 |
| 8 Bedrooms | $4,214 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,060 | $248,082 | 0.83% | C |
| 3BR | $2,580 | $343,736 | 0.75% | D |
| 4BR | $2,860 | $600,972 | 0.48% | F |
| 5BR | $3,318 | $784,266 | 0.42% | F |
U.S. Census Bureau data (2024)
The ZIP code 21286, located in Towson, MD, has a population of 21,853, with 40.1% of residents being renters. This indicates that while the majority of the population owns homes, there is still a significant portion of the community that relies on rental housing. The median household income in this area is $93,808, which provides context for understanding the economic landscape.
The market rent for ZIP 21286 is $1,718, representing approximately 18.3% of the median household income. This percentage suggests that while rent is a substantial expense, it remains manageable for many households given their income levels. For comparison, the Fair Market Rent (FMR) for the area, as set for FY 2024, is $1,960, indicating that the current market rent is slightly below the FMR.
The relatively low percentage of income spent on rent and the fact that market rent is below the FMR suggest that landlords in this area should not expect a high concentration of Section 8 tenants. Instead, they should anticipate a mix of tenants who can afford market rates and those who might use vouchers to supplement their rent payments. However, due to the 40.1% rental rate, there is a reasonable demand for rental properties, including those that accept vouchers.
A landlord in ZIP 21286 can expect tenants who are likely employed and earning close to the median household income, making them capable of paying rent without assistance. For those who do receive rental assistance, the vouchers will help cover a significant portion of the $1,718 market rent, but landlords should also be prepared for some administrative work associated with managing voucher-assisted tenancies. Overall, the area offers a stable tenant pool with a moderate need for rental assistance.
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.