Section 8 Fair Market Rent (FMR) for ZIP 23898 - 2027

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

Investment Score for ZIP 23898

F
Monthly Rent (2BR)
$1,060
Median Price (2BR)
$242,803
1% Rule
0.44%
Annual Yield
5.24%

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$880
1 Bedroom$890
2 Bedrooms$1,060
3 Bedrooms$1,420
4 Bedrooms$1,760
5 Bedrooms$2,042
6 Bedrooms$2,287
7 Bedrooms$2,470
8 Bedrooms$2,594

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 $1,060 $242,803 0.44% F
3BR $1,420 $355,906 0.4% F
4BR $1,760 $481,680 0.37% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
2,246
Median Household Income
$80,282
Housing Units
1,014
Renter Percentage
27.5%
Occupancy Rate
89.1%
Renter Occupied
248

The ZIP code 23898, located in Zuni, Virginia, within Isle of Wight County, stands out due to its unique demographic and economic characteristics. With a population of 2,246 residents, 27.5% of whom rent their homes, the area has a median income of $80,282 and a median home value of $341,366. These figures indicate a relatively affluent community with a significant portion of homeownership.

Turning to the economics of Section 8 vouchers, the Fair Market Rent (FMR) for ZIP 23898 in fiscal year 2024 is set at $1,100. This is notably higher than the current market rent of $779, based on Census ACS data. Landlords participating in the Section 8 program can expect to receive a rental payment that exceeds the typical market rate, providing a financial advantage. The discrepancy between the FMR and the actual market rent suggests that there is potential for landlords to increase rents while still remaining within the subsidy limits, which could be beneficial for those looking to maximize returns on their investment properties.

Based on the data signature of ZIP 23898, the area appears to be stable. The high median income and median home value point towards a financially secure population, and the relatively low percentage of renters indicates a strong preference for homeownership. The disparity between the FMR and the market rent also supports a stable environment, where the government's rental assistance can comfortably cover the cost of housing without creating undue financial pressure on either landlords or tenants. This stability is favorable for both landlords and small-portfolio investors who seek predictable and reliable rental income.

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.