Location: Rockbridge County-Buena Vista city-Lexington city, VA | Metro: Rockbridge County-Buena Vista city-Lexington 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 | $840 |
| 1 Bedroom | $910 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,650 |
| 5 Bedrooms | $1,914 |
| 6 Bedrooms | $2,144 |
| 7 Bedrooms | $2,316 |
| 8 Bedrooms | $2,432 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $990 | $272,751 | 0.36% | F |
| 3BR | $1,370 | $374,777 | 0.37% | F |
| 4BR | $1,650 | $480,878 | 0.34% | F |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP 24435, which includes Fairfield, VA, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rents. The FMR for the metro area in fiscal year 2026 is set at $950. However, the current market rent for a studio apartment in ZIP 24435 is $900, according to recent listings on Trulia.
The gap between the FMR and the market rent is $50, representing approximately 5.26% of the FMR. This means that the market rent is slightly below the FMR. For landlords and small-portfolio investors, this makes ZIP 24435 a yield play. Voucher tenants can help fill units that might otherwise remain vacant due to higher-than-market rents.
With only 7.6% of residents being renters and a median home value of $358,696, the rental market in Fairfield, VA, is relatively small compared to the homeownership market. Additionally, the median income of $70,114 suggests that many residents may be better suited for homeownership rather than renting, further emphasizing the importance of attracting voucher tenants to maintain occupancy rates and steady cash flow.
In this context, accepting Section 8 vouchers can be a strategic move for landlords. It ensures a stable tenant base, backed by government payments, which can be particularly beneficial given the limited rental demand. However, it also means that landlords must operate below the open-market rental rates, which could impact profitability if not managed carefully.
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.