Section 8 Fair Market Rent (FMR) for ZIP 24281 - 2027

Location: Lee County, VA | Metro: Lee County, VA

Investment Score for ZIP 24281

C
Monthly Rent (2BR)
$940
Median Price (2BR)
$107,117
1% Rule
0.88%
Annual Yield
10.53%

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$720
1 Bedroom$750
2 Bedrooms$940
3 Bedrooms$1,270
4 Bedrooms$1,300
5 Bedrooms$1,508
6 Bedrooms$1,689
7 Bedrooms$1,824
8 Bedrooms$1,915

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $940 $107,117 0.88% C
3BR $1,270 $147,373 0.86% C

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
1,890
Median Household Income
$46,806
Housing Units
1,144
Renter Percentage
25.3%
Occupancy Rate
66.4%
Renter Occupied
192

ZIP code 24281, located in Rose Hill, VA within the Lee County metro area, presents a unique snapshot when compared against typical ZIP codes in Lee County. The Fair Market Rent (FMR) for ZIP 24281 is set at $910 for fiscal year 2026, aligning closely with the average market rent of $905. This indicates that the rental prices in Rose Hill are on par with the broader county standards, suggesting a mid-tier neighborhood status.

However, the median home value in ZIP 24281 stands at $122,463, which is notably lower than the typical home values found in other parts of Lee County. This discrepancy between rental costs and home values could be indicative of a value pocket within the metro, where properties are relatively affordable but still command competitive rental rates.

A further distinguishing feature is the 25.3% share of renters in ZIP 24281. This percentage is higher than many ZIP codes in Lee County, pointing towards a significant portion of the population relying on rental housing. When combined with the below-average home values, it suggests that ZIP 24281 could be an attractive location for landlords and small-portfolio investors interested in the Section 8 program. The high renter share paired with lower home values often signals a sweet spot for government-subsidized housing opportunities.

To summarize, ZIP 24281 appears to be a mid-tier neighborhood in terms of rental pricing but exhibits characteristics of a value pocket due to its lower home values. The high renter share makes it particularly appealing for those considering investment in the Section 8 housing market.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.