Location: King and Queen County, 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 | $1,340 |
| 1 Bedroom | $1,400 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $1,880 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,520 | $233,824 | 0.65% | D |
| 3BR | $1,880 | $329,690 | 0.57% | F |
| 4BR | $2,300 | $389,325 | 0.59% | F |
U.S. Census Bureau data (2024)
The classification of ZIP 23181 (West Point, VA) hinges on the analysis of both yield and stability factors. The Fair Market Rent (FMR) for 2024 is set at $1,400, which is significantly higher than the current market rent of $1,184. This gap suggests a potential for high rental yields if properties can be leased at or near the FMR rate.
However, the median home value of $333,729 indicates that the area is not cheap to enter, and this must be considered against the average income level of $95,699. Given the 16.6% of residents who are renters, the market does not have a large pool of potential tenants relative to homeowners, which could impact the ability to maintain high occupancy rates.
The lack of data on the number of days on market (DOM) makes it difficult to assess the speed at which rental units are typically filled. However, with an average income level that supports higher rents, there is a reasonable expectation that the market can sustain the FMR rates, assuming the rental demand is met.
To summarize, ZIP 23181 leans towards a steady-cashflow zone. While the yield potential is strong due to the disparity between FMR and market rent, the stability factor is somewhat compromised by the relatively low percentage of renters and the unknown DOM figure. Nonetheless, the strong income levels provide a foundation for sustained cash flow, making it a viable option for those seeking consistent returns rather than high-risk, high-reward investments.
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.