Section 8 Fair Market Rent (FMR) for ZIP 24126 - 2027

FY 2027 Fair Market Rent Rates

The economics of Section 8 in ZIP code 24126, located in Pulaski County, Virginia, are straightforward when you understand the key figures involved. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for fiscal year 2024 is set at $910. This figure is crucial because it represents the maximum amount that the housing authority will pay towards rent for a two-bedroom unit in this area.

To break down the actual payment process, consider the following steps:

• Tenant Portion: Tenants are required to contribute 30% of their adjusted income toward rent. For example, if a tenant's monthly adjusted income is $1,000, they would contribute $300 towards the rent.
• Voucher Payment: The Section 8 voucher then covers the difference between the tenant’s contribution and the SAFMR. In our example, the voucher would cover $610 ($910 - $300).
• Utility Allowances: Additionally, there are utility allowances that vary based on the size of the unit and the specific needs of the household. These allowances do not directly affect the rent reimbursement but can influence the overall financial planning for landlords.

Note that the SAFMR applies specifically to this ZIP code, meaning the rate is set for this particular area and reflects local rental market conditions as closely as possible. Given the SAFMR of $910 for a two-bedroom unit, if the local market rent were higher than this amount, landlords would face a reimbursement gap. Conversely, if the market rent is lower, landlords might see a surplus.

In ZIP 24126, however, the local market rent data is currently unavailable, which makes it challenging to calculate the exact reimbursement gap or surplus. Nonetheless, assuming the local market rent is indeed higher than the SAFMR, landlords would need to charge tenants an amount above the $910 SAFMR to cover the full cost of the rental unit, including any desired profit margin. The difference between the local market rent and the $910 SAFMR would represent the reimbursement gap that landlords must manage independently.

If the local market rent were lower, say $850, then the voucher would still reimburse up to $910, creating a surplus of $60 for landlords. However, without specific local market rent data, we cannot provide a precise figure for the reimbursement gap or surplus in ZIP 24126.

Data Sources: FMR data from HUD (2027).

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.