Section 8 Fair Market Rent (FMR) for ZIP 44138 - 2027

Location: Cleveland, OH | Metro: Cleveland, OH HUD Metro FMR Area

Investment Score for ZIP 44138

D
Monthly Rent (2BR)
$1,490
Median Price (2BR)
$198,799
1% Rule
0.75%
Annual Yield
8.99%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,080
1 Bedroom$1,230
2 Bedrooms$1,490
3 Bedrooms$1,900
4 Bedrooms$2,050
5 Bedrooms$2,378
6 Bedrooms$2,663
7 Bedrooms$2,876
8 Bedrooms$3,020

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,490 $198,799 0.75% D
3BR $1,900 $283,550 0.67% D
4BR $2,050 $419,389 0.49% F
5BR $2,378 $456,982 0.52% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
23,162
Median Household Income
$96,603
Housing Units
9,922
Renter Percentage
23.0%
Occupancy Rate
95.0%
Renter Occupied
2,163

297668 The median home value in ZIP 44138, Olmsted Falls, OH, stands at $297,668, reflecting a stable real estate market. 1350 However, the Fair Market Rent (FMR) for Section 8 housing in the area for fiscal year 2024 is set at $1350, indicating a significant gap between the cost of owning and renting. 1353 Compared to the market rent of $1,353, as reported by the Census Bureau's American Community Survey, the Section 8 rate is slightly lower but still competitive. 23.0 In an environment where 23.0% of residents are renters, landlords can leverage the Section 8 program to ensure steady occupancy rates. 96603 With a median income of $96,603, many households may find it challenging to afford homeownership, thus relying on rental options. 5 The average Days on Market (DOM) for rental listings is 5 days, suggesting a high demand for rental properties in the area. 0.2 Additionally, only 0.2% of rental listings have experienced price cuts, which speaks to the overall strength and stability of the rental market. 1350 For landlords and small-portfolio investors, the Section 8 FMR of $1350 offers a reliable source of income while providing affordable housing to eligible tenants. 1353 Given the market rent of $1,353, the potential for modest profit margins exists when managing Section 8 properties efficiently. 297668 The strong correlation between the median home value and rental rates supports the viability of the Section 8 program in ZIP 44138.

23.0 Considering the 23.0% renter share and the robust demand for rentals, participating in the Section 8 program can be a strategic move for landlords looking to secure long-term tenants and stabilize their cash flow. 96603 The median income figure of $96,603 underscores the financial reality for many families, making subsidized housing a necessity. 1350 The $1350 FMR provides a benchmark for rental pricing, ensuring affordability for low-income households while offering a predictable revenue stream for property owners. 1353 The proximity of the FMR to the market rent of $1,353 further validates the program's alignment with local rental costs.

297668 In conclusion, with a median home value of $297,668 and a market rent that closely mirrors the Section 8 FMR, Olmsted Falls presents a favorable environment for landlords interested in the Section 8 program. 1350 The $1350 FMR ensures that landlords receive a fair rental payment, while the high demand for rentals and low price-cut share indicate a healthy market. 23.0 Given the 23.0% renter share, the Section 8 program remains a valuable tool for both tenants seeking affordable housing and landlords aiming for consistent occupancy and income. 1353 For small-portfolio investors, the market rent of $1,353 suggests a potential for slight profit margins above the FMR, making Section 8 participation a sound investment strategy. 297668 Olmsted Falls' real estate landscape supports the continued relevance and benefit of the Section 8 program for all stakeholders involved.

1350 Verdict: Section 8 is a viable option for landlords and small-portfolio investors in ZIP 44138.

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.