Section 8 Fair Market Rent (FMR) for ZIP 22101 - 2027

Location: Washington-Arlington-Alexandria, DC | Metro: Washington-Arlington-Alexandria, DC-VA-MD HUD Metro FMR Area

Investment Score for ZIP 22101

Monthly Rent (2BR)

$3,040

Median Price (2BR)

$1,078,050

1% Rule

0.28%

Annual Yield

3.38%

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	$2,630
1 Bedroom	$2,750
2 Bedrooms	$3,040
3 Bedrooms	$3,870
4 Bedrooms	$4,560
5 Bedrooms	$5,290
6 Bedrooms	$5,925
7 Bedrooms	$6,399
8 Bedrooms	$6,719

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$2,750	$335,704	0.82%	C
2BR	$3,040	$1,078,050	0.28%	F
3BR	$3,870	$1,250,225	0.31%	F
4BR	$4,560	$1,493,818	0.31%	F
5BR	$5,290	$2,237,101	0.24%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

30,953

Median Household Income

$250,001

Housing Units

11,436

Renter Percentage

16.2%

Occupancy Rate

96.3%

Renter Occupied

1,783

To determine if you should buy in ZIP code 22101 (McLean, VA) for Section 8 investment, follow this decision tree:

Does the Fair Market Rent (FMR) of $3,070 for the fiscal year 2024 cover the debt service on a property valued at $1,696,151?
- Yes: The FMR of $3,070 is sufficient to cover the average debt service costs for a property of that value, making it financially viable.
- No: The FMR does not cover the debt service costs, indicating that purchasing a property of this value would likely result in financial loss.
Is the market rent ($4,409 ZORI) above, at, or below the FMR?
- Above: The market rent of $4,409 exceeds the FMR of $3,070, suggesting that landlords could potentially earn higher rents outside of Section 8.
- At or Below: The market rent is either at par or below the FMR, which means landlords might find it challenging to attract non-Section 8 tenants willing to pay the lower rates.
Are 16.2% of residents renters and does the 7-day Days on Market (DOM) indicate enough demand?
- Yes: With 16.2% of residents being renters and a relatively low 7-day DOM, there is sufficient demand to consider investing in Section 8 properties.
- No: If the percentage of renters is too low or the DOM is significantly higher, it suggests a lack of demand for rental properties, making it less attractive for Section 8 investments.

The final decision will depend on your answers to these questions. If FMR covers debt service and there's strong demand, proceed with caution but consider it a viable option. If market rent is substantially higher than FMR, you might want to evaluate other investment strategies that leverage market rates. Always ensure your investment aligns with local housing needs and financial feasibility.

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.