Section 8 Fair Market Rent (FMR) for ZIP 22503 - 2027

Location: Richmond County, VA | Metro: Lancaster County, VA

Investment Score for ZIP 22503

F
Monthly Rent (2BR)
$1,180
Median Price (2BR)
$228,773
1% Rule
0.52%
Annual Yield
6.19%

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$960
1 Bedroom$970
2 Bedrooms$1,180
3 Bedrooms$1,580
4 Bedrooms$1,920
5 Bedrooms$2,227
6 Bedrooms$2,494
7 Bedrooms$2,694
8 Bedrooms$2,829

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,180 $228,773 0.52% F
3BR $1,580 $350,973 0.45% F
4BR $1,920 $588,973 0.33% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
4,296
Median Household Income
$74,051
Housing Units
2,730
Renter Percentage
9.8%
Occupancy Rate
75.4%
Renter Occupied
201

The ZIP code 22503, located in Lancaster, VA, is primarily a homeowner-dominated area rather than a renter-heavy one. With a population of 4,296, only 9.8% of residents are renters, indicating a relatively low demand for rental properties. The median household income stands at $74,051, which suggests that the majority of residents can afford homeownership.

The market rent in this area is $1,094 per month, which represents approximately 14.7% of the median household income. This percentage is calculated by dividing the monthly rent by the annual median income and multiplying by 12. Given the Federal Market Rent (FMR) for the metro area is $1,110 (for FY 2026), the market rent is slightly below the FMR, indicating that rents in Lancaster, VA are competitive with the broader regional market.

Despite the low percentage of renters, the income levels in the area suggest that tenants who do rent are likely to be financially stable. However, due to the low renter population, the number of Section 8 voucher holders is also expected to be limited. Landlords in this area should anticipate a tenant pool that includes individuals and families who are either on the borderline of qualifying for housing assistance or those who are fully self-sufficient in their ability to pay rent without subsidies.

To summarize, while ZIP 22503 is not a hotbed for Section 8 voucher demand, it offers a stable market for landlords willing to cater to a mix of tenants, including some who might require housing assistance. The key to success here lies in understanding the local economic conditions and tailoring rental offerings accordingly.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.