Location: Washington-Arlington-Alexandria, DC | Metro: Washington-Arlington-Alexandria, DC-VA-MD HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,460 |
| 1 Bedroom | $2,570 |
| 2 Bedrooms | $2,840 |
| 3 Bedrooms | $3,620 |
| 4 Bedrooms | $4,270 |
| 5 Bedrooms | $4,953 |
| 6 Bedrooms | $5,547 |
| 7 Bedrooms | $5,991 |
| 8 Bedrooms | $6,291 |
U.S. Census Bureau data (2024)
In ZIP code 20422, the economics of Section 8 housing are governed by the SAFMR (Small Area Fair Market Rent) which sets the rate specifically for this ZIP code. For a two-bedroom apartment, the SAFMR is set at $1980 per month for fiscal year 2024. This figure represents the maximum amount that the housing authority will pay on behalf of eligible tenants under the Section 8 Housing Choice Voucher program.
The SAFMR is determined based on the local rental market conditions but does not necessarily reflect the current market rents, which are not available for ZIP 20422. Therefore, landlords must understand that the reimbursement from Section 8 vouchers is capped at $1980 for a two-bedroom unit, regardless of the actual market rates.
A voucher payment consists of two parts: the subsidy paid by the housing authority and the tenant's contribution. The tenant is typically required to pay 30% of their adjusted income toward rent. This amount covers both the rent and utilities. If the tenant's share plus the utility allowance exceeds $1980, the housing authority will still only reimburse up to the $1980 limit. Conversely, if the combined amount is less than $1980, the housing authority will make up the difference to ensure the total rent matches the SAFMR.
To illustrate, assume a tenant has an adjusted monthly income of $2000. Thirty percent of this income is $600, which would be the tenant’s portion of the rent. If the utility allowance is $200, the total amount the tenant can contribute towards rent and utilities is $800. In this case, the housing authority would cover the remaining $1180 to reach the SAFMR of $1980.
If the actual market rent for a two-bedroom apartment in ZIP 20422 were higher than $1980, landlords would face a reimbursement gap. However, since the local market rent is not available, we cannot calculate this gap directly. Landlords should be aware that if they charge more than the SAFMR, the tenant is responsible for paying the difference out-of-pocket, and this could impact the tenant's ability to afford the additional cost.
Given the SAFMR of $1980, landlords in ZIP 20422 can expect a reimbursement that matches this rate. Any surplus or shortfall depends on the market rent relative to the SAFMR, and the specifics of each tenant's income and utility usage. To maximize profitability and avoid gaps, landlords should aim to keep their rental rates close to the SAFMR of $1980 for a two-bedroom apartment.
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.