Location: Richmond, VA | Metro: Richmond, VA 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 | $1,300 |
| 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 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,870 | $216,879 | 0.86% | C |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 23897 are straightforward. The SAFMR (Section 8 Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $1210 per month for fiscal year 2024. This figure is slightly below the local market rent, which averages $1,241 according to the Census ACS data.
A landlord participating in the Section 8 program receives rental payments from the government via vouchers. These vouchers cover the difference between the tenant's portion and the total rent. For a two-bedroom unit in ZIP 23897, the government will pay up to $1210. However, tenants are required to contribute 30% of their income towards rent, plus any applicable utility allowances.
To illustrate, if a tenant's monthly income is $1,000, they would contribute $300 (30%) toward the rent. Assuming the utility allowance is $150, the total contribution from the tenant and the utility allowance would be $450. Therefore, the government voucher would cover the remaining $760 of the $1210 rent.
This means that landlords in ZIP 23897 can expect to receive a total of $1210 per month for a two-bedroom apartment, consisting of the tenant's payment and the government voucher reimbursement. Given that the local market rent is $1,241, landlords would typically face a small shortfall of $31 per month if they charge the market rate. Conversely, if the rent charged is exactly $1210, there would be no shortfall or surplus, aligning perfectly with the SAFMR.
In summary, the typical reimbursement gap for a two-bedroom unit in ZIP 23897 is a deficit of $31 per month when charging the average local market rent of $1,241. Landlords must carefully consider these economics before deciding to participate in the Section 8 program.
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.