Location: Virginia Beach-Norfolk-Newport News, VA | Metro: Virginia Beach-Norfolk-Newport News, VA-NC 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 | $1,760 |
| 1 Bedroom | $1,780 |
| 2 Bedrooms | $2,000 |
| 3 Bedrooms | $2,760 |
| 4 Bedrooms | $3,250 |
| 5 Bedrooms | $3,770 |
| 6 Bedrooms | $4,222 |
| 7 Bedrooms | $4,560 |
| 8 Bedrooms | $4,788 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,000 | $273,691 | 0.73% | D |
| 3BR | $2,760 | $392,466 | 0.7% | D |
| 4BR | $3,250 | $507,184 | 0.64% | D |
| 5BR | $3,770 | $630,115 | 0.6% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 23314 reveals that the HUD Fair Market Rent (FMR) of $1760 for fiscal year 2024 is slightly below the Zillow Observed Rent Index (ZORI), which stands at $1,825. This indicates that voucher tenants will cashflow marginally, meaning they can cover the rent with minimal financial stress but not without careful budgeting.
To further analyze the investment potential, consider the median home value in this area, which is $415,028. The rent-to-price ratio is approximately 0.4%, calculated by dividing the ZORI rent by the median home value. This ratio suggests that rental income represents a modest portion of the property's total value, which could be beneficial for those looking to balance between rental income and long-term asset appreciation.
Note that the median days on market (DOM) is listed as N/A, indicating insufficient data for an accurate assessment of how quickly properties are selling. Additionally, the share of homes that have been discounted is 0.2%, suggesting a stable market where few homeowners need to lower their prices to sell. These factors indicate a relatively low-risk environment for real estate investment.
In conclusion, the strongest investor angle in ZIP 23314 is likely stability, given the low rate of price cuts and the marginal cashflow from voucher tenants. This makes it an attractive option for investors seeking consistent returns with limited volatility.
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.