Section 8 Fair Market Rent (FMR) for ZIP 23851 - 2027

Location: Southampton County-Franklin city, VA | Metro: Virginia Beach-Norfolk-Newport News, VA-NC HUD Metro FMR Area

Investment Score for ZIP 23851

D
Monthly Rent (2BR)
$1,110
Median Price (2BR)
$142,809
1% Rule
0.78%
Annual Yield
9.33%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$940
1 Bedroom$970
2 Bedrooms$1,110
3 Bedrooms$1,500
4 Bedrooms$1,850
5 Bedrooms$2,146
6 Bedrooms$2,404
7 Bedrooms$2,596
8 Bedrooms$2,726

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,110 $142,809 0.78% D
3BR $1,500 $249,388 0.6% D
4BR $1,850 $343,329 0.54% F
5BR $2,146 $416,097 0.52% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
13,237
Median Household Income
$70,122
Housing Units
6,027
Renter Percentage
38.7%
Occupancy Rate
89.8%
Renter Occupied
2,094

The ZIP code 23851, located in Franklin, VA, stands out due to its unique demographic and economic characteristics. With a total population of 13,237 residents, the area has a rental rate of 38.7%, indicating a significant portion of the community relies on leased properties. The median income in Franklin is $70,122, while the median home value sits at $242,898, suggesting a middle-class neighborhood where homeownership is relatively affordable.

Turning to the voucher economics, the Fair Market Rent (FMR) for ZIP 23851 in fiscal year 2024 is set at $1060, which is notably higher than the Census-reported market rent of $999. This discrepancy means that landlords participating in the Section 8 program can expect to receive slightly more than the average market rent for similar units. The increased FMR reflects the local housing market dynamics and ensures that tenants have access to adequate housing options within their budget.

Based on the data signature, ZIP 23851 appears to be a stable area. The relatively high rental rate combined with a moderate median income and home values suggests a balanced community where both renters and owners coexist comfortably. The slight increase in FMR over market rent also indicates a well-regulated housing market, where the government's intervention through the Section 8 program helps maintain affordability without causing significant distortions. For landlords and small-portfolio investors, this stability provides a reliable environment for managing rental properties and planning long-term investments.

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.