Location: Roanoke, VA | Metro: Roanoke, 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 | $1,200 |
| 1 Bedroom | $1,260 |
| 2 Bedrooms | $1,480 |
| 3 Bedrooms | $2,040 |
| 4 Bedrooms | $2,470 |
| 5 Bedrooms | $2,865 |
| 6 Bedrooms | $3,209 |
| 7 Bedrooms | $3,466 |
| 8 Bedrooms | $3,639 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,480 | $129,467 | 1.14% | B |
| 3BR | $2,040 | $155,772 | 1.31% | A |
| 4BR | $2,470 | $163,353 | 1.51% | A+ |
U.S. Census Bureau data (2024)
The analysis of ZIP 24013 in Roanoke, Virginia reveals a market that balances yield potential with reasonable stability. The Federal Market Rent (FMR) for 2024 is set at $1,070, which is significantly below the market rent of $1,369. This indicates a strong rental yield opportunity, as landlords can potentially charge above the FMR without pricing out tenants who qualify for assistance.
When considering home values, the median stands at $142,359. Coupled with the FMR, this suggests a decent cash-on-cash return for landlords investing in properties within this ZIP code. However, the stability of the market is somewhat mixed. With 56.3% of residents being renters, there is a substantial demand for rental housing, which supports the idea of a stable market. On the other hand, the lack of data regarding the average days on market (DOM) could imply volatility or difficulty in assessing how quickly properties are rented out, which is a key factor in stability.
The median household income in ZIP 24013 is $51,290. This figure is critical in understanding the economic stability of the tenant pool. While it's not exceptionally high, it does provide a basis for consistent rental payments, especially when combined with the percentage of renters and the relatively low FMR. Landlords should be cautious, however, as lower incomes might affect the ability of some tenants to pay higher rents, particularly if they are relying on subsidies.
In summary, ZIP 24013 leans towards a high-yield market given the disparity between the FMR and market rent. However, the stability is not as robust due to the limited data on DOM and the moderate median income. It is best classified as a market offering good cash flow but requiring careful management to ensure long-term stability. For small-portfolio investors, this represents an opportunity for significant returns, provided they are willing to actively manage their properties and tenant selection.
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.