Location: Virginia Beach-Norfolk-Newport News, VA | Metro: Virginia Beach-Norfolk-Newport News, VA-NC HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,850 |
| 1 Bedroom | $1,870 |
| 2 Bedrooms | $2,100 |
| 3 Bedrooms | $2,890 |
| 4 Bedrooms | $3,410 |
| 5 Bedrooms | $3,956 |
| 6 Bedrooms | $4,431 |
| 7 Bedrooms | $4,785 |
| 8 Bedrooms | $5,024 |
U.S. Census Bureau data (2024)
The Section 8 market in ZIP code 23604, located within the Virginia Beach-Norfolk-Newport News, VA-NC HUD Metro FMR Area, presents a competitive yet manageable landscape for landlords and small-portfolio investors. The HUD Fair Market Rent (FMR) for the area stands at $1970 per month for fiscal year 2024, which is slightly above the market rent of $1901 based on recent Census ACS data. This indicates that voucher tenants can generally achieve positive cash flow at the HUD FMR rate, though it's marginal given the close alignment between the two figures.
The median home value in ZIP 23604 is listed as N/A, suggesting that the area is predominantly rental-focused. Consequently, deriving a precise rent-to-price ratio isn't feasible with the available data. However, the fact that there is no median home value implies that rental properties are likely to be the primary investment focus, rather than owner-occupied homes, which could affect the rent-vs-buy dynamics in the area.
With the median days on market (DOM) and the percentage of listings that required a price cut also listed as N/A, it's challenging to assess the broader real estate market conditions. Nevertheless, the slight premium of HUD FMR over the market rent suggests that landlords can expect modest cash flow from Section 8 tenants, provided they manage their expenses effectively. This makes cash flow the strongest investor angle in this market, as appreciation and stability are harder to quantify without additional data on home values and sales trends.
Data Sources: FMR data from HUD (2027). 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.