Location: Charlottesville, VA | Metro: Charlottesville, VA MSA
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 | $1,360 |
| 1 Bedroom | $1,530 |
| 2 Bedrooms | $1,750 |
| 3 Bedrooms | $2,130 |
| 4 Bedrooms | $2,610 |
| 5 Bedrooms | $3,028 |
| 6 Bedrooms | $3,391 |
| 7 Bedrooms | $3,662 |
| 8 Bedrooms | $3,845 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,530 | $203,735 | 0.75% | D |
| 2BR | $1,750 | $282,662 | 0.62% | D |
| 3BR | $2,130 | $478,304 | 0.45% | F |
| 4BR | $2,610 | $734,185 | 0.36% | F |
| 5BR | $3,028 | $1,013,006 | 0.3% | F |
U.S. Census Bureau data (2024)
The ZIP code 22901, located in Charlottesville, Virginia, presents an interesting scenario for both renters and landlords. The median household income here is $92,145, which provides a solid financial foundation for many residents. However, when considering the market rate for rent, which stands at $1,783 (ZORI), the situation becomes more nuanced.
Comparatively, the Fair Market Rent (FMR) for the area, set at $1,710 for fiscal year 2024, aligns closely with the market rate. This suggests that the rental assistance vouchers issued under the Section 8 program will cover a significant portion of the average rent in the area, making it a viable option for the 43.2% of the 37,237 population who are renters.
The affordability gap between the median income and the ZORI highlights a challenge for some households. While a median income of $92,145 can support a monthly rent of $1,783, it leaves little room for other expenses such as utilities, food, and transportation. For those relying on the Section 8 voucher, which pays up to $1,710, the difference of $73 per month must be covered by the tenant, adding to their financial strain.
This dynamic impacts landlord competition significantly. Landlords who accept Section 8 vouchers can tap into a larger pool of potential tenants, but they must also consider the administrative requirements and the stability of government funding. On the other hand, landlords who prefer cash-paying tenants might face higher competition due to the limited number of financially capable households.
The takeaway for landlords is clear: accepting Section 8 vouchers can provide a steady stream of income and reduce vacancy rates, especially given the high percentage of renters in the area. However, landlords should also be prepared to manage the paperwork and potential delays associated with voucher payments. For those focused on cash-paying tenants, setting competitive rental prices and offering attractive amenities will be key to attracting and retaining financially stable renters.
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.