Location: Cleveland, OH | Metro: Cleveland, OH HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,160 |
| 1 Bedroom | $1,320 |
| 2 Bedrooms | $1,600 |
| 3 Bedrooms | $2,040 |
| 4 Bedrooms | $2,200 |
| 5 Bedrooms | $2,552 |
| 6 Bedrooms | $2,858 |
| 7 Bedrooms | $3,087 |
| 8 Bedrooms | $3,241 |
U.S. Census Bureau data (2024)
In ZIP code 44137, which encompasses Maple Heights, OH, within Cuyahoga County, the economics of Section 8 housing vouchers are defined by the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, set at $1320 for fiscal year 2024. This SAFMR is specifically tailored for this ZIP code, reflecting the unique rental market conditions here.
The local market rent for a two-bedroom unit, as measured by ZORI (Zillow Rent Index), stands at $1,570. This discrepancy between the SAFMR and the actual market rent is a key consideration for landlords. When a tenant uses a Section 8 voucher, the payment structure involves both the voucher contribution and the tenant's portion of the rent.
The voucher itself covers the difference between the tenant's portion and the SAFMR. For a two-bedroom apartment, the tenant is typically required to pay 30% of their adjusted income towards rent. If we assume an average adjusted income of $1,500 (a common benchmark for low-income households), the tenant would contribute approximately $450 towards rent ($1,500 x 0.3).
The remaining amount, up to the SAFMR, is covered by the voucher. In this case, that would be $1320 - $450 = $870 paid by the voucher program. However, it's important to note that the total reimbursement to the landlord also includes utility allowances. These allowances vary but are generally around $200-$300 per month for a two-bedroom unit. Assuming a utility allowance of $250, the total monthly reimbursement to the landlord would be $450 (tenant contribution) + $870 (voucher contribution) + $250 (utility allowance) = $1570.
This calculation means that the landlord receives the full market rent of $1570 when a tenant with a Section 8 voucher occupies a two-bedroom unit. Therefore, there is no reimbursement gap; instead, there is a surplus. Landlords can expect to receive the full ZORI of $1570 without having to subsidize any portion of the rent themselves.
To summarize, the economics of Section 8 in ZIP 44137 align closely with the local market conditions. With the SAFMR set at $1320 and the ZORI at $1570, landlords will find that the voucher system compensates them fully for the market rent, plus utility allowances, resulting in no financial loss and potentially a positive outcome due to the alignment of the SAFMR with the local rental market.
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.