Location: Washington-Arlington-Alexandria, DC | Metro: Hagerstown, 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 | $1,690 |
| 1 Bedroom | $1,760 |
| 2 Bedrooms | $1,950 |
| 3 Bedrooms | $2,490 |
| 4 Bedrooms | $2,930 |
| 5 Bedrooms | $3,399 |
| 6 Bedrooms | $3,807 |
| 7 Bedrooms | $4,112 |
| 8 Bedrooms | $4,318 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,490 | $467,335 | 0.53% | F |
| 4BR | $2,930 | $647,335 | 0.45% | F |
| 5BR | $3,399 | $777,333 | 0.44% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 21769 stands at $151,563, which places it well above the national average. However, when examining the rental market, the cost of renting at the market rate of $1,708 per month (as reported by the Census ACS) presents an interesting challenge for households. Despite the high median income, the disparity between earnings and the cost of living becomes evident.
To put this into context, the Federal Market Rent (FMR) for ZIP code 21769 in fiscal year 2024 is set at $1,650. This figure represents the standard payment amount for housing vouchers, indicating that those utilizing vouchers could find units within their budget. The market rate of $1,708 is only slightly higher, but this small difference can significantly impact the affordability for renters.
With a relatively low percentage of renters at 13.0% and a total population of 11,965, the competition among landlords for tenants willing to pay market rates is likely to be fierce. The affordability gap suggests that many potential renters might find it challenging to meet the market rate without financial assistance such as housing vouchers.
For landlords considering their tenant selection strategy, the data points towards a scenario where voucher holders could provide a steady stream of income. While the voucher payment of $1,650 is slightly below the market rate, it offers a reliable alternative to chasing a smaller pool of cash-paying tenants who might struggle to afford the rent. Landlords should weigh the benefits of accepting vouchers, including guaranteed payments and potentially less vacancy, against the slightly lower rent compared to market rates.
In summary, landlords in ZIP code 21769 must navigate a competitive rental market where the majority of residents have incomes that exceed the national average. However, the high market rate of $1,708 means that even with substantial earnings, many households still face an affordability gap. Accepting vouchers at the FMR of $1,650 could be a strategic move for landlords looking to secure consistent tenancy in a market where cash-paying tenants might be harder to come by.
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.