Location: Somerset County, MD | Metro: Somerset County, MD HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $910 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,510 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 21890 in Somerset County, Maryland, reveals several key points that are crucial for landlords and small-portfolio investors considering investment in this area.
The first question is whether the rent math works. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $1040. However, due to limited data availability on market rent, it's challenging to directly compare the FMR against actual market rates. This lack of information suggests that landlords should proceed with caution and seek additional sources to understand the local rental market dynamics.
Regarding the affordability of acquisitions, the median home value and other specifics such as days on market (DOM) and the percentage of homes with price cuts are currently unavailable. Without these figures, it's difficult to assess the overall cost and competitiveness of acquiring properties in ZIP 21890. Landlords and investors should conduct thorough research to determine if the acquisition costs align with their financial goals and strategies.
Tenant demand can be gauged by looking at the population size and the percentage of renters. With a population of 3,289, the demand for housing is present. Unfortunately, the exact percentage of residents who are renters is not available, which makes it hard to estimate the potential occupancy rate for rental properties. Given the population size, there is likely a steady demand for rental units, but the precise nature of this demand remains unclear without more detailed data.
In conclusion, while there is a clear Fair Market Rent benchmark at $1040, the lack of comprehensive market data, including median home values and specific rental demographics, poses challenges for making informed decisions. Investors must seek out additional resources to fill these informational gaps before committing to acquisitions in ZIP 21890. Despite the uncertainties, the presence of a population suggests that there will be some level of demand for rental properties, but the viability of investment hinges on further investigation into local market conditions.
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.