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 | $1,840 |
| 1 Bedroom | $1,870 |
| 2 Bedrooms | $2,090 |
| 3 Bedrooms | $2,880 |
| 4 Bedrooms | $3,400 |
| 5 Bedrooms | $3,944 |
| 6 Bedrooms | $4,417 |
| 7 Bedrooms | $4,770 |
| 8 Bedrooms | $5,009 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,090 | $272,274 | 0.77% | D |
| 3BR | $2,880 | $406,657 | 0.71% | D |
| 4BR | $3,400 | $546,892 | 0.62% | D |
| 5BR | $3,944 | $704,272 | 0.56% | F |
U.S. Census Bureau data (2024)
The analysis for the Section 8 program in ZIP code 23692, specifically centered around Yorktown, VA, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR stands at $1880, while the market rent, as measured by ZORI, is $2095. This results in a $215 difference, or approximately 11.4%, between what landlords can charge voucher tenants and the prevailing market rates.
Given that the FMR is lower than the market rent, landlords should be aware of the financial implications of accepting housing vouchers. The cost of housing voucher tenants below open-market rates means landlords will receive less rent than they could from non-voucher tenants. However, the benefits include guaranteed payment through the voucher program, which is essential for maintaining cash flow and stability in a rental property portfolio. In Yorktown, where 21.0% of residents are renters and the median home value is $454,438, the decision to accept vouchers should be made with consideration of these factors.
The median income in Yorktown, VA, is $109,066. This relatively high median income suggests that there is a segment of the population capable of paying market rents, but also indicates that a portion of the community might rely on housing assistance programs such as Section 8. Landlords must weigh the trade-offs between accepting voucher tenants at a lower rate and potentially renting to higher-paying market-rate tenants.
To summarize, the $215 gap between the FMR and market rent represents a strategic decision point for landlords. While it incurs a slight loss compared to market rates, the security and predictability of rent payments from voucher tenants can be a valuable yield play in a market with high home values and mixed tenant profiles.
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.