Section 8 Fair Market Rent (FMR) for ZIP 24469 - 2027

FY 2027 Fair Market Rent Rates

To determine if you should buy in ZIP code 24469 for Section 8 investment, follow this decision tree:

1) Does the Fair Market Rent (FMR) of $1210 cover debt service on your property?

• No: Do not invest. The FMR does not provide sufficient income to cover the mortgage and other costs associated with the property.
• Yes: Proceed to the next question.

2) Is the market rent above, at, or below the FMR of $1210?

• Above: The area is experiencing higher market rents than the FMR. This can be risky for Section 8 investments since tenants may struggle to afford the rent, leading to high turnover rates. However, it also indicates strong demand which could benefit from non-Section 8 rentals.
• At: Market rents align with the FMR, making it a stable option for Section 8 investments. Tenants will find the rent affordable, and landlords can expect steady income without significant risk.
• Below: Market rents are lower than the FMR, which means Section 8 tenants might easily afford the rent. This scenario is favorable for landlords as it ensures a steady stream of income and reduces the likelihood of vacancies.

3) Are the percentage of renters and the days on market (DOM) indicative of enough demand?

• N/A% Renters + N/A-day DOM: Without specific data on the percentage of renters and DOM, it's challenging to assess demand accurately. However, if the percentage of renters is substantial and the DOM is low, indicating quick property turnover, there is likely enough demand to support a Section 8 investment.
• It Depends: If the percentage of renters is moderate and the DOM is neither exceptionally high nor low, the viability of a Section 8 investment hinges on other factors such as location desirability, economic stability, and competition from other rental properties.

Note: The decision tree requires specific figures for market rent, percentage of renters, and days on market to make a precise recommendation. These figures were marked as N/A in the provided data, so they must be obtained separately to fully evaluate the investment potential of ZIP 24469 for Section 8 properties.

Data Sources: FMR data from HUD (2027).

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.