Location: Washington-Arlington-Alexandria, DC | Metro: Washington-Arlington-Alexandria, DC-VA-MD 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 | $2,300 |
| 1 Bedroom | $2,400 |
| 2 Bedrooms | $2,660 |
| 3 Bedrooms | $3,390 |
| 4 Bedrooms | $3,990 |
| 5 Bedrooms | $4,628 |
| 6 Bedrooms | $5,183 |
| 7 Bedrooms | $5,598 |
| 8 Bedrooms | $5,878 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $3,390 | $383,954 | 0.88% | C |
| 4BR | $3,990 | $505,402 | 0.79% | D |
U.S. Census Bureau data (2024)
The ZIP code 20664 presents several challenges for potential Section 8 landlords. Firstly, tenant turnover could be higher due to the significant gap between the market rent of $1,201 and the Fair Market Rent (FMR) of $1,970 for FY 2024. This discrepancy suggests that tenants may struggle to afford market rates, leading to frequent moves and higher vacancy rates. Additionally, the vacancy exposure is heightened because the Days on Market (DOM) data is currently unavailable, indicating a lack of transparency and potentially longer periods of vacancy. The deferred maintenance risk is also notable, given the typical home value of $428,307 and a median income of $88,438. Landlords should expect that many residents might not have the financial capacity to keep their homes in optimal condition, which could lead to higher maintenance costs.
However, these risks must be weighed against the high renter share of 30.3%, which typically translates into a robust demand for rental properties. This high density of renters increases the likelihood of finding tenants who qualify for Section 8 vouchers, thereby stabilizing the rental income. Moreover, the presence of a large number of renters can help mitigate the impact of tenant turnover and vacancy exposure, as there is a continuous pool of potential occupants.
Verdict: Moderate risk for a first-time Section 8 landlord.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.