Section 8 Fair Market Rent (FMR) for ZIP 23190 - 2027

FY 2027 Fair Market Rent Rates

To determine if you should buy in ZIP code 23190 (Unknown, VA) for Section 8 investments, follow these steps:

Step 1: Can the Fair Market Rent (FMR) of $1310 cover debt service?

• Yes: If the FMR of $1310 can cover your debt service, proceed to Step 2.
• No: If the FMR of $1310 cannot cover your debt service, do not invest in this area for Section 8 properties.

Step 2: Is the market rent above, at, or below the FMR?

• Above: If the market rent is higher than the FMR of $1310, consider diversifying your portfolio with both market-rate and Section 8 units.
• At: If the market rent equals the FMR of $1310, focus on maintaining Section 8 units to ensure steady income.
• Below: If the market rent is lower than the FMR of $1310, prioritize Section 8 units to maximize your rental income potential.

Step 3: Is there sufficient demand for rental properties?

• It Depends: The data does not provide the percentage of renters or the days on market (DOM) to make a definitive judgment. However, if the percentage of renters is substantial and the DOM is relatively low, indicating quick turnover, there may be enough demand. Otherwise, further research into local rental trends and competition is necessary before making an investment decision.

The key factor in this analysis is the ability of the FMR to cover your debt service. Without specific data on market rent and the percentage of renters plus DOM, a clear recommendation cannot be made. Ensure you thoroughly evaluate these aspects to inform your investment strategy in ZIP 23190.

Data Sources: FMR data from HUD (2027).

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.