Location: Alleghany County-Clifton Forge city-Covington city, VA | Metro: Alleghany County-Clifton Forge city-Covington city, VA HUD Nonmetro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $790 |
| 1 Bedroom | $790 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,390 |
| 5 Bedrooms | $1,612 |
| 6 Bedrooms | $1,805 |
| 7 Bedrooms | $1,949 |
| 8 Bedrooms | $2,046 |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 24457 are governed by the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, which is set at $910 for fiscal year 2026. This SAFMR represents the maximum amount that the U.S. Department of Housing and Urban Development (HUD) will pay to landlords participating in the Section 8 Housing Choice Voucher program. However, it's important to note that local market rents are currently not available, which can make comparisons challenging.
A Section 8 voucher does not cover the entire rent amount; instead, it covers the difference between what a tenant can afford and the actual rent. Typically, tenants are required to pay 30% of their adjusted income toward rent. For instance, if a tenant's monthly adjusted income is $1,000, they would be expected to contribute $300 towards the rent. In ZIP 24457, HUD would then pay the remaining balance up to the SAFMR of $910.
In addition to the base rent, the voucher also includes utility allowances. These allowances vary but are generally calculated based on the size of the unit and the local cost of utilities. For a two-bedroom apartment, the utility allowance might range from $150 to $200 per month, depending on the specifics of the area and the household's needs.
To illustrate, let's assume the total rent for a two-bedroom apartment is $1,000, and the utility allowance is $175. If the tenant contributes $300, the total payment towards rent and utilities would be $475. Therefore, the voucher would cover the remaining $525, bringing the total reimbursement to $700 ($525 for rent + $175 for utilities).
This setup creates a reimbursement gap for landlords. Given the SAFMR of $910, if the actual rent exceeds this amount, landlords must either lower the rent to match the voucher limit or accept the reimbursement gap. In ZIP 24457, with a SAFMR of $910, if the rent is set higher, say at $1,050, the landlord would receive only $910 from the voucher program, creating a shortfall of $140 per month. Conversely, if the rent is set below the SAFMR, such as $850, there would be a surplus of $60, as the voucher would fully cover the rent and utilities within the limit.
In summary, landlords in ZIP 24457 should expect to receive a reimbursement of up to $910 for a two-bedroom apartment, with the actual amount depending on the tenant's contribution and any applicable utility allowances. Landlords must carefully consider these factors when setting rent, as they directly impact the financial viability of participating in the Section 8 program.
Data Sources: FMR data from HUD (2027). 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.