Location: Salisbury, MD | Metro: Salisbury, MD HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,100 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,870 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 21810, located in the Salisbury, MD HUD Metro FMR Area, reveals several key points regarding its viability for Section 8 landlords and small-portfolio investors.
The first question to address is whether the rent math works. The Fair Market Rent (FMR) for the area is set at $1030 for fiscal year 2024. However, without specific data on the market rent, it's challenging to compare the two directly. Assuming the FMR is reflective of the market conditions, landlords should be able to cover their costs and potentially make a profit if they manage their expenses efficiently.
Moving on to the affordability of acquisitions, the lack of detailed data on median home values, days on market (DOM), and the percentage of homes that have been subject to price cuts makes it difficult to provide a precise assessment. Typically, lower median home values, shorter DOM periods, and a smaller share of homes needing price reductions indicate a more favorable environment for property acquisition. Landlords and investors would need to conduct further research to determine the actual costs and market dynamics.
Regarding tenant demand, the data shows a population of 55 individuals, with a 0.0% renter share. This suggests an extremely low demand for rental properties in the area, which could pose significant challenges for landlords seeking tenants. The combination of a small population and virtually no renters indicates that finding eligible Section 8 tenants might be particularly difficult.
Verdict: While the rent math appears to work based on the given FMR, the lack of comprehensive data on median home values, DOM, and price-cut shares means that acquisition affordability remains uncertain. More critically, the extremely low tenant demand, as evidenced by the minuscule renter share, strongly suggests that ZIP 21810 is not a viable investment opportunity for Section 8 landlords or small-portfolio investors. The scarcity of potential tenants would likely result in prolonged vacancies and financial strain, outweighing any potential benefits from the rent subsidy program.
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.