Location: Wise County-Norton city, VA | Metro: Wise County-Norton city, VA HUD Nonmetro 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 | $720 |
| 1 Bedroom | $720 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $940 | $84,869 | 1.11% | B |
| 3BR | $1,260 | $137,846 | 0.91% | C |
U.S. Census Bureau data (2024)
The analysis of ZIP code 24279, located in Pound, VA, within the Wise County-Norton city, VA HUD Nonmetro FMR Area, reveals several key points regarding its suitability for Section 8 landlords and small-portfolio investors.
The first question to address is whether the rent math works. The Fair Market Rent (FMR) for the area as set by HUD for fiscal year 2026 is $910, which is notably higher than the market rent reported by the Census ACS at $779. This means that landlords participating in the Section 8 program can expect to receive a subsidy that covers the difference between these two figures, making it financially viable to rent properties at the market rate while still receiving the higher FMR compensation.
Moving on to the affordability of acquisitions, the median home value in ZIP 24279 is $123,697. Given the lack of specific data on the number of days on market (DOM) and the percentage of homes needing price cuts, it's challenging to provide a precise assessment of how quickly or easily homes can be sold. However, the relatively low median home value suggests that acquiring properties in this area could be more affordable compared to urban centers, potentially offering good value for investment dollars.
Regarding tenant demand, the ZIP code has a population of 4,671, with 17.0% of residents being renters. This indicates a moderate level of demand for rental housing. While the percentage of renters is not exceptionally high, it does suggest a stable pool of potential tenants who might benefit from the availability of Section 8 units, thus ensuring consistent occupancy rates.
In conclusion, ZIP 24279 presents a balanced opportunity for Section 8 landlords and small-portfolio investors. The disparity between the FMR and market rent ensures that the rent math works in favor of landlords, providing a clear financial advantage. The median home value is low, suggesting that property acquisition is affordable, though more detailed data on sales trends would be beneficial. Lastly, the presence of a modest but steady renter population supports the likelihood of tenant demand, making it a reasonable choice for those seeking to invest in a less competitive market. Overall, the area offers a solid foundation for investment, particularly for those willing to navigate the nuances of Section 8 participation.
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.