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 | $1,470 |
| 1 Bedroom | $1,480 |
| 2 Bedrooms | $1,660 |
| 3 Bedrooms | $2,300 |
| 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 |
|---|---|---|---|---|
| 3BR | $2,300 | $414,057 | 0.56% | F |
| 4BR | $2,700 | $648,129 | 0.42% | F |
U.S. Census Bureau data (2024)
The ZIP code 23432 stands out due to its unique mix of economic indicators. With a population of just 1,180 residents, only 9.6% of whom rent their homes, it has a median income of $94,306 and a median home value of $453,402. These figures suggest a predominantly owner-occupied area with relatively high incomes.
However, the rental market dynamics in ZIP 23432 present an interesting opportunity for landlords and small-portfolio investors. The Fair Market Rent (FMR) for the Section 8 voucher program is set at $1,560 for fiscal year 2024, while the actual market rent, according to the Census American Community Survey, is significantly lower at $652 per month. This substantial gap means that landlords accepting Section 8 vouchers can potentially receive higher rents compared to the local market rate, making it a lucrative option despite the often perceived drawbacks.
Investors should consider the implications of these numbers carefully. The high FMR relative to the local market suggests that there is a strong incentive for landlords to participate in the Section 8 program, especially if they aim to maximize rental income. Additionally, the disparity indicates a possible under-supply of affordable housing units in the area, which could be a driving factor for increased demand for subsidized housing options.
Evaluating the overall data signature of ZIP 23432, it appears stable. The low percentage of renters combined with high median income and home values suggests a mature, settled community. However, the potential for growth in the rental sector, driven by the disparity between FMR and market rates, introduces elements of transition. Landlords and investors should monitor local developments closely to understand how these factors might evolve over time.
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.