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 | $990 |
| 1 Bedroom | $1,130 |
| 2 Bedrooms | $1,370 |
| 3 Bedrooms | $1,750 |
| 4 Bedrooms | $1,890 |
| 5 Bedrooms | $2,192 |
| 6 Bedrooms | $2,455 |
| 7 Bedrooms | $2,651 |
| 8 Bedrooms | $2,784 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,370 | $173,774 | 0.79% | D |
| 3BR | $1,750 | $216,462 | 0.81% | C |
| 4BR | $1,890 | $255,155 | 0.74% | D |
| 5BR | $2,192 | $273,834 | 0.8% | C |
U.S. Census Bureau data (2024)
With a Fair Market Rent (FMR) of $1220 for ZIP 44134 in Parma, OH, for fiscal year 2024, landlords can expect a significant portion of their tenant pool to be eligible for Section 8 subsidies. The local market rent, measured by ZORI, stands at $1,696, indicating that there is a gap between what the government deems fair and the actual rental prices, which presents an opportunity for landlords to adjust their rents to attract both subsidized and non-subsidized tenants. The median home value in the area is $205,941, suggesting a moderate housing market where investment properties can still offer competitive returns. With a renter share of 22.4%, it's clear that a considerable segment of the population is already renting, making the market ripe for rental investments. The median income of $68,625 provides insight into the financial capabilities of residents, though it's important to note that many will still rely on assistance programs like Section 8.
Average days on market (DOM) of 15 days indicates a relatively quick turnover for rental listings, which is favorable for landlords looking to minimize vacancy periods. Furthermore, the low price-cut share of 0.2% suggests that rental properties are generally priced appropriately and don't require frequent reductions to secure tenants. This stability in pricing and quick rental cycles contribute to a predictable cash flow scenario for investors.
In summary, ZIP 44134 in Parma, OH, offers a balanced environment for real estate investment, particularly for those interested in Section 8 properties. The discrepancy between the FMR and market rent, coupled with a moderate median home value and quick rental cycles, supports the notion that this area can provide steady returns while catering to a mix of income levels. Given these factors, investing in Section 8 properties in Parma, OH, is advisable for those seeking a stable and reliable investment 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.