Section 8 Fair Market Rent (FMR) for ZIP 24161 - 2027

Location: Pittsylvania County-Danville city, VA | Metro: Pittsylvania County-Danville city, VA HUD Nonmetro FMR Area

Investment Score for ZIP 24161

N/A
Monthly Rent (2BR)
$1,100
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$890
1 Bedroom$960
2 Bedrooms$1,100
3 Bedrooms$1,520
4 Bedrooms$1,770
5 Bedrooms$2,053
6 Bedrooms$2,299
7 Bedrooms$2,483
8 Bedrooms$2,607

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 $1,520 $247,632 0.61% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
703
Median Household Income
$46,579
Housing Units
306
Renter Percentage
48.1%
Occupancy Rate
67.3%
Renter Occupied
99

The market analysis for Section 8 investors in ZIP code 24161, located in the Pittsylvania County-Danville city area of Virginia, reveals a competitive rental environment. The HUD Fair Market Rent (FMR) for the area is set at $1,010 for fiscal year 2026, while the Census ACS indicates a market rent of $1,119. This means that voucher tenants will generally cashflow at the FMR level, but landlords may need to offer slightly above-average units to attract these tenants, as the market rent exceeds the FMR by approximately $109 per month.

To further understand the investment potential, consider the median home value in the area, which stands at $175,178. Using this figure, we can calculate a rent-to-price ratio. At $1,119 per month, the annual rent would be $13,428, resulting in a rent-to-price ratio of about 7.6%. This ratio suggests that the rental market is relatively strong compared to the cost of homeownership, making it an attractive option for investors focused on cashflow rather than property appreciation.

The dynamics between renting and buying in this market are influenced by the fact that there is no available data on the median Days on Market (DOM) or the percentage of properties that experience price cuts. However, given the strong rent-to-price ratio, it's evident that the rental market is robust and likely outperforming the housing market in terms of returns.

In conclusion, the strongest investor angle in ZIP code 24161 is cashflow. With the market rent exceeding the HUD FMR, investors who manage their properties well and maintain them above average can expect positive cashflow from Section 8 tenants, making this a reliable investment opportunity for those prioritizing steady income over other factors such as property appreciation or market stability.

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.