Location: Worcester County, MD | Metro: Worcester County, MD
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 | $1,200 |
| 1 Bedroom | $1,200 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,980 |
| 4 Bedrooms | $2,390 |
| 5 Bedrooms | $2,772 |
| 6 Bedrooms | $3,105 |
| 7 Bedrooms | $3,353 |
| 8 Bedrooms | $3,521 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,430 | $298,658 | 0.48% | F |
| 3BR | $1,980 | $410,197 | 0.48% | F |
| 4BR | $2,390 | $574,395 | 0.42% | F |
| 5BR | $2,772 | $756,542 | 0.37% | F |
U.S. Census Bureau data (2024)
The ZIP code 21811 in Berlin, MD, presents a unique challenge for renters when considering the cost of housing against their median income. With a median household income of $90,082, residents might initially seem well-positioned to cover the market rate rent of $2,903 per month, known as the ZORI (Zillow Rent Index).
However, the financial landscape shifts dramatically when comparing this to the Federal Market Rent (FMR) standard set at $1,340 per month for the fiscal year 2024. This significant difference highlights a substantial affordability gap for those relying on housing vouchers.
In a population of 24,377, where 16.7% are renters, the disparity between the ZORI and the FMR suggests a competitive market for landlords. Cash-paying tenants willing to meet the higher market rates are likely to have an advantage over those who can only offer the voucher amount. This scenario creates a dichotomy for landlords: they must choose between securing a steady stream of income from voucher recipients or attracting fewer but potentially more financially flexible cash-paying tenants.
The takeaway for landlords in ZIP 21811 is clear: while accepting vouchers ensures a reliable tenant with consistent rental payments, it caps potential earnings at the lower FMR rate. Conversely, focusing on cash-paying tenants could yield higher monthly revenues but comes with increased risk due to the limited number of households capable of affording the ZORI. Landlords should carefully weigh these factors when deciding their rental strategy.
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.