Location: Richmond, VA | Metro: Richmond, VA HUD Metro FMR Area
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 | $1,300 |
| 1 Bedroom | $1,360 |
| 2 Bedrooms | $1,490 |
| 3 Bedrooms | $1,870 |
| 4 Bedrooms | $2,300 |
| 5 Bedrooms | $2,668 |
| 6 Bedrooms | $2,988 |
| 7 Bedrooms | $3,227 |
| 8 Bedrooms | $3,388 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,490 | $293,265 | 0.51% | F |
| 3BR | $1,870 | $402,604 | 0.46% | F |
| 4BR | $2,300 | $636,032 | 0.36% | F |
| 5BR | $2,668 | $763,909 | 0.35% | F |
U.S. Census Bureau data (2024)
The classification of ZIP 23005 (Ashland, VA) as a real estate market for Section 8 landlords and small-portfolio investors hinges on two key metrics: yield and stability. Yield can be measured by comparing the Fair Market Rent (FMR) set at $1,430 for fiscal year 2024 against the market rent of $1,719. Stability is gauged by the percentage of renters (27.2%), median income ($89,335), and the lack of available data on days on market (DOM).
Yield: The FMR of $1,430 is notably lower than the market rent of $1,719, indicating that Ashland, VA, offers a moderate yield advantage for landlords participating in the Section 8 program. This difference suggests that while there is potential for higher returns compared to market rents, it is not an extremely high-yield area.
Stability: With only 27.2% of residents being renters, the market in Ashland, VA, leans towards a more owner-occupied community. This could imply less demand for rental properties, which might affect vacancy rates and the overall stability of cash flow for landlords. Additionally, the median household income of $89,335 is relatively robust, suggesting that tenants who do rent may have better financial standing, potentially leading to fewer defaults and more stable tenancies. However, the absence of data regarding the average number of days a property remains on the market before being rented indicates uncertainty about how quickly units can be filled, which is a critical factor for cash flow stability.
Ashland, VA, therefore, does not fit neatly into either a high-yield/low-stability 'flip-style' market or a steady-cashflow zone. Instead, it occupies a middle ground where the yield is moderately attractive due to the disparity between FMR and market rents, but the stability is somewhat compromised by the low renter population and unknown rental market dynamics. For investors seeking consistent cash flow, the stability concerns may outweigh the yield benefits, whereas those looking for a balance between risk and reward might find this area appealing.
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.