Location: Washington-Arlington-Alexandria, DC | Metro: Washington-Arlington-Alexandria, DC-VA-MD HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,060 |
| 1 Bedroom | $2,150 |
| 2 Bedrooms | $2,380 |
| 3 Bedrooms | $3,030 |
| 4 Bedrooms | $3,570 |
| 5 Bedrooms | $4,141 |
| 6 Bedrooms | $4,638 |
| 7 Bedrooms | $5,009 |
| 8 Bedrooms | $5,259 |
U.S. Census Bureau data (2024)
A skeptical investor considering ZIP 20693 might raise several concerns regarding the financial viability of investing in this area. Here are some key objections and the data that addresses them.
Objection 1: Will FMR $1570 (zip FY 2024) cover the mortgage on a $509,109 home?
The Fair Market Rent (FMR) for ZIP 20693 is set at $1570 for FY 2024. This figure represents the rent level that covers the cost of renting a home of a certain size in the area. However, it does not directly correlate with the mortgage payment on a home valued at $509,109. According to recent data, the median home value in 20693, MD is indeed around $509,109. To accurately assess whether the FMR can cover the mortgage, one would need to calculate the specific mortgage amount based on factors such as interest rates, loan terms, and down payments. Current data suggests that home values have been fluctuating, but the FMR provides a baseline for assessing rental income potential.
Objection 2: Is there enough renter demand at 8.4%?
The rental demand percentage in ZIP 20693 stands at 8.4%, which is a measure of how many households are renters versus homeowners. This percentage indicates that while the majority of residents own their homes, there is still a notable segment of the population that relies on rental properties. With a median home value of approximately $509,109, it's reasonable to assume that a portion of the population may find homeownership unaffordable, thus driving demand for rental units. However, the data does not provide a direct comparison of rental demand against the total number of available rental units, making it difficult to determine if the demand is sufficiently high to support investment in rental properties.
Objection 3: Will vouchers keep pace with N/A market rents?
The availability of housing vouchers and their ability to keep pace with market rents is a critical concern for investors relying on Section 8 tenants. Unfortunately, the data provided does not specify the current trends or levels of voucher utilization in ZIP 20693. While the Fair Market Rent is a useful indicator, it does not guarantee that voucher amounts will match market rents. Investors should consider contacting local housing authorities to obtain more detailed information on voucher amounts and trends. Additionally, monitoring local rental market conditions can help predict future changes in voucher policies and their impact on rental income.
In summary, while the data provides insights into the median home value and rental demand in ZIP 20693, it does not fully address all investor concerns. It is advisable to conduct further research and consult local experts to make informed decisions about investment opportunities in this area.
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.