Section 8 Fair Market Rent (FMR) for ZIP 23885 - 2027

Location: Richmond, VA | Metro: Richmond, VA HUD Metro FMR Area

Investment Score for ZIP 23885

N/A
Monthly Rent (2BR)
$1,490
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

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$1,300
1 Bedroom$1,360
2 Bedrooms$1,490
3 Bedrooms$1,870
4 Bedrooms$2,300
5 Bedrooms$2,668
6 Bedrooms$2,988
7 Bedrooms$3,227
8 Bedrooms$3,388

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
3BR $1,870 $338,616 0.55% F
4BR $2,300 $429,220 0.54% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
3,193
Median Household Income
$103,849
Housing Units
1,372
Renter Percentage
12.0%
Occupancy Rate
93.3%
Renter Occupied
154

ZIP code 23885 has a population of 3,193, with only 12.0% of residents identified as renters. This indicates that the area is predominantly homeowner-dominated, which suggests that the demand for rental properties using Section 8 vouchers is likely to be lower compared to areas with a higher percentage of renters.

The median household income in ZIP 23885 is $103,849. The market rent for the area is set at $1,311 per month. Given these figures, the typical rent consumes approximately 12.6% of the local median income. This is calculated by dividing the market rent ($1,311) by the median household income ($103,849), then multiplying by 100 to get the percentage. In comparison, the Fair Market Rent (FMR) for the area is $1,250 for fiscal year 2024, which represents a slightly smaller portion of the local income, about 12.0%.

The fact that the market rent is slightly above the FMR suggests that landlords in ZIP 23885 might face some challenges in attracting tenants who qualify for Section 8 vouchers, given the income constraints of such programs. Landlords should expect to attract tenants whose incomes are significantly below the median, often relying on government assistance to cover their housing costs.

In summary, ZIP 23885 is not a renter-heavy area with deep voucher demand. It is a neighborhood where homeownership prevails, and rental demand, particularly for subsidized housing, is relatively low. Landlords will need to be prepared to cater to tenants who have limited financial resources and are likely to require housing vouchers to afford the rent. These tenants will typically have an income that is substantially less than the median household income of the area.

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.