Location: Cleveland, OH | Metro: Cleveland, OH 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 | $770 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,060 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,060 | $184,774 | 0.57% | F |
| 3BR | $1,350 | $235,588 | 0.57% | F |
| 4BR | $1,460 | $329,744 | 0.44% | F |
| 5BR | $1,694 | $403,071 | 0.42% | F |
U.S. Census Bureau data (2024)
The ZIP code 44053, located in Lorain, Ohio, presents an interesting scenario when analyzed from the perspective of a renter. The median household income in this area stands at $67,484, which is crucial for understanding the financial capabilities of potential tenants.
Given the market rate for rent, known as the ZORI (Zillow Rent Index), at $855, it becomes evident that many households in this ZIP code would struggle to meet this cost comfortably. To put this into context, a household earning the median income would allocate approximately 15% of their annual income towards rent if paying the market rate. This figure, however, does not account for other living expenses such as utilities, groceries, healthcare, and transportation, indicating a significant portion of the budget must be dedicated to housing costs.
Comparatively, the Fair Market Rent (FMR) set by the Department of Housing and Urban Development for ZIP 44053 in fiscal year 2024 is $920. This is slightly higher than the ZORI but still represents a substantial amount relative to the median income. The FMR is the basis for determining the payment standard for Section 8 housing vouchers, meaning that landlords participating in the voucher program can expect payments up to this level.
With 33.4% of the population being renters and a total population of 21,084, there is a notable demand for rental properties. However, the affordability gap between the median income and both the ZORI and FMR suggests that competition among landlords could be fierce, especially for tenants who can pay the full market rate without assistance.
Landlords considering whether to accept voucher tenants or focus on cash-paying residents should weigh the benefits of steady, government-backed rental income against the potential for higher rents from non-subsidized tenants. Given the economic realities, landlords who are flexible and willing to work with voucher programs may find themselves better positioned to attract and retain tenants in this competitive market.
In summary, the affordability gap in ZIP 44053 means that landlords might face challenges in finding tenants who can pay the full market rate. Accepting Section 8 vouchers, while offering a slightly lower rent compared to the market rate, ensures a reliable source of income and access to a larger pool of potential tenants. Landlords should consider the long-term stability and market dynamics when deciding on their rental strategy.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.