Location: Salisbury, MD | Metro: Salisbury, 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 | $1,070 |
| 1 Bedroom | $1,080 |
| 2 Bedrooms | $1,400 |
| 3 Bedrooms | $1,830 |
| 4 Bedrooms | $1,840 |
| 5 Bedrooms | $2,134 |
| 6 Bedrooms | $2,390 |
| 7 Bedrooms | $2,581 |
| 8 Bedrooms | $2,710 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,830 | $304,710 | 0.6% | D |
U.S. Census Bureau data (2024)
The ZIP code 21850 presents a unique scenario for both renters and landlords. With a median income of $79,665, a household in this area could theoretically afford the market rate rent of $748, according to the latest Census ACS data. However, the reality is more complex when considering the actual cost of living and other financial obligations.
The federal payment standard for Housing Choice Vouchers (Section 8) in ZIP 21850 for fiscal year 2024 is set at $1,230. This figure is significantly higher than the market rate, which means that voucher holders have more purchasing power in terms of rental housing. For landlords, this implies that accepting vouchers could lead to higher rental incomes compared to what the local market typically offers.
With only 11.7% of the 3,850 population being renters, competition among landlords for tenants is likely to be high. The affordability gap between the market rate and the voucher payment standard suggests that many potential renters might struggle to find suitable housing without assistance. This creates an opportunity for landlords who are willing to accept vouchers, as they can attract tenants who otherwise might not be able to afford the area's rents.
The takeaway for landlords is clear: while cash-paying tenants might be available, the higher payment standard of vouchers ($1,230) compared to the market rate ($748) makes accepting vouchers a financially advantageous strategy. It also aligns with the goal of providing accessible housing, given the relatively high cost of living in the area. Landlords should consider the benefits of increased tenant stability and guaranteed rental payments when deciding on their Section 8 acceptance policy.
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.