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 | $1,470 |
| 1 Bedroom | $1,530 |
| 2 Bedrooms | $1,670 |
| 3 Bedrooms | $2,090 |
| 4 Bedrooms | $2,570 |
| 5 Bedrooms | $2,981 |
| 6 Bedrooms | $3,339 |
| 7 Bedrooms | $3,606 |
| 8 Bedrooms | $3,786 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,670 | $225,342 | 0.74% | D |
| 3BR | $2,090 | $370,021 | 0.56% | F |
| 4BR | $2,570 | $581,211 | 0.44% | F |
| 5BR | $2,981 | $659,983 | 0.45% | F |
U.S. Census Bureau data (2024)
In ZIP code 23140, which encompasses Providence Forge, VA, and parts of New Kent County, the economics of Section 8 vouchers are straightforward. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment is set at $1210 per month for fiscal year 2024. This SAFMR is specifically tailored for this ZIP code, reflecting local rental conditions more accurately than broader regional averages.
The local market rent for a two-bedroom unit in this area is higher, at $1,492 per month according to the latest Census ACS data. This means that landlords participating in the Section 8 program will receive less than the market rate for renting out a two-bedroom property. However, the actual amount paid to landlords by the Housing Choice Voucher Program includes both the tenant's contribution and any utility allowances.
Tenants are typically responsible for paying 30% of their adjusted income toward rent. For simplicity, let's assume an average adjusted income of $1600 per month, which would result in a tenant contribution of approximately $480. The remainder of the rent, up to the SAFMR, is covered by the housing authority. In this case, the housing authority would pay the landlord $730 to meet the total SAFMR of $1210.
If the tenant's income is lower, say $1200 per month, their contribution would be $360, and the housing authority would cover $850 of the rent. Utility allowances can also be included in the payment but vary based on individual circumstances and are capped. These allowances are designed to help cover the cost of utilities, which can range from $100 to $300 per month, depending on the tenant's needs.
Given these parameters, the typical reimbursement gap for a two-bedroom apartment in ZIP 23140 is calculated by subtracting the SAFMR ($1210) from the local market rent ($1492). This results in a monthly gap of $282. Landlords must consider this gap when deciding whether to participate in the Section 8 program, as it represents the difference between what they could potentially charge in the open market and what they will receive under the voucher program.
To summarize, landlords in ZIP 23140 should expect a reimbursement of $1210 for a two-bedroom apartment, with the tenant contributing about 30% of their income and any applicable utility allowances. This leaves a typical reimbursement gap of $282 per month compared to the local market rent of $1492.
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.