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 | $1,460 |
| 1 Bedroom | $1,480 |
| 2 Bedrooms | $1,660 |
| 3 Bedrooms | $2,290 |
| 4 Bedrooms | $2,700 |
| 5 Bedrooms | $3,132 |
| 6 Bedrooms | $3,508 |
| 7 Bedrooms | $3,789 |
| 8 Bedrooms | $3,978 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,660 | $247,849 | 0.67% | D |
| 3BR | $2,290 | $310,526 | 0.74% | D |
| 4BR | $2,700 | $408,396 | 0.66% | D |
| 5BR | $3,132 | $454,041 | 0.69% | D |
U.S. Census Bureau data (2024)
The renter's perspective in ZIP 23325, Chesapeake, VA, highlights a significant challenge in affording the local market-rate rent. With a median income of $69,909, the average household faces difficulty in covering the $2,038 monthly rent observed in the area (ZORI). This disparity becomes even more pronounced when comparing the market rate to the federal housing voucher payment standard of $1550 (FMR zip FY 2024).
The affordability gap is stark. A household earning the median income would spend nearly a third of their monthly earnings on market-rate rent, which is unsustainable. In contrast, a voucher holder would pay only a fraction of that amount, making it much easier for them to find suitable housing. Given that 40.0% of the population are renters and the total population is 19,138, this gap suggests intense competition among landlords to attract tenants who can afford the higher market rates.
The takeaway for landlords is clear: focusing solely on cash-paying tenants may limit your pool of potential renters due to the high cost of living in the area. Incorporating a strategy to accept housing vouchers could provide a steady stream of tenants willing to pay a reliable, government-backed rate. While accepting vouchers might mean lower rental income compared to market rates, it ensures a consistent tenant base and reduces vacancy rates. Landlords should consider the balance between voucher and cash-paying strategies to optimize their portfolio performance in ZIP 23325.
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.