Section 8 Fair Market Rent (FMR) for ZIP 20160 - 2027
Location: Washington-Arlington-Alexandria, DC | Metro: Washington-Arlington-Alexandria, DC-VA-MD HUD Metro FMR Area
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $2,390 |
| 1 Bedroom | $2,500 |
| 2 Bedrooms | $2,760 |
| 3 Bedrooms | $3,520 |
| 4 Bedrooms | $4,140 |
| 5 Bedrooms | $4,802 |
| 6 Bedrooms | $5,378 |
| 7 Bedrooms | $5,808 |
| 8 Bedrooms | $6,098 |
To determine if you should invest in ZIP 20160 (Unknown, DC) for Section 8 properties, follow this decision tree:
- 1) Does the Fair Market Rent (FMR) of $2240 cover debt service on a property?
- Yes: If the FMR can cover your debt service, proceed to the next question.
- No: Do not invest in this ZIP code for Section 8 properties. The rent is insufficient to meet financial obligations.
- 2) Is the market rent above, at, or below the FMR of $2240?
- Above: If the market rent exceeds the FMR, you may consider alternative investment strategies that do not rely solely on Section 8 tenants.
- At: If the market rent equals the FMR, you can expect to attract Section 8 tenants without losing out on non-subsidized rents.
- Below: If the market rent is below the FMR, you will likely be able to attract Section 8 tenants easily, but you might miss out on higher market rents.
- 3) Are there sufficient renters and days on the market (DOM) to meet demand?
- Yes: If there is a high percentage of renters and a low DOM, there is strong demand for rental properties in this area. This makes ZIP 20160 a viable option for Section 8 investments.
- No: If the percentage of renters is low and the DOM is high, demand for rental properties may not be sufficient. This would make investing in this ZIP code less attractive.
- It Depends: If the data is unclear or incomplete, further investigation is required. Consider analyzing local trends, job growth, and population changes to make a more informed decision.
Note: Due to the lack of specific data points regarding property values, market rent, percentage of renters, and DOM, some branches of the decision tree cannot provide a definitive answer. Ensure you gather comprehensive data before making an investment decision.
Data Sources: FMR data from HUD (2027).
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.