Location: Madison County, VA | Metro: Madison County, VA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,110 |
| 1 Bedroom | $1,130 |
| 2 Bedrooms | $1,360 |
| 3 Bedrooms | $1,860 |
| 4 Bedrooms | $1,980 |
| 5 Bedrooms | $2,297 |
| 6 Bedrooms | $2,573 |
| 7 Bedrooms | $2,779 |
| 8 Bedrooms | $2,918 |
U.S. Census Bureau data (2024)
A household in ZIP code 22948, with a median income of $53,007, faces significant challenges in affording the local rental market. The market rate for rentals is currently unavailable, which makes it difficult to assess the exact affordability gap; however, we can use the Fair Market Rent (FMR) standard set by the Housing Choice Voucher program, also known as Section 8, to provide some context.
The FMR for ZIP 22948 for fiscal year 2024 is set at $1180. This figure represents the maximum amount that voucher holders can pay toward their rent. Given the median income, this suggests that many residents might find it hard to meet the market rate without assistance. For instance, if we assume a typical renter spends around 30% of their income on housing, the affordable rent would be approximately $1,326 per month. This is higher than the FMR but still lower than likely market rates, indicating an affordability issue for those not receiving vouchers.
With only 25.3% of the population being renters and a total population of 137, the competition among landlords in this area could be fierce. The limited number of renters means that landlords must consider the attractiveness of their properties to potential tenants, whether they are voucher recipients or not. Moreover, the affordability gap implies that there may be a high demand for subsidized housing options, making Section 8 vouchers particularly valuable for securing tenants.
Landlords considering their strategy should weigh the benefits of accepting vouchers against the risks. While vouchers ensure steady income and a reliable tenant pool, the payment may not cover the full market value of a property. On the other hand, relying solely on cash-paying tenants could leave properties vacant in a tight rental market where many cannot afford the full price. The takeaway for landlords is to carefully evaluate the mix of voucher and cash-paying tenants that will best serve their financial goals and operational needs in ZIP 22948.
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.