Location: Pittsylvania County-Danville city, VA | Metro: Lynchburg, VA MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $930 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,480 |
| 4 Bedrooms | $1,580 |
| 5 Bedrooms | $1,833 |
| 6 Bedrooms | $2,053 |
| 7 Bedrooms | $2,217 |
| 8 Bedrooms | $2,328 |
U.S. Census Bureau data (2024)
ZIP 24569, located in the Pittsylvania County-Danville city area of Virginia, presents a unique opportunity for inclusion in a Section 8 portfolio strategy. This ZIP code serves primarily as a cash-flow anchor due to the disparity between the Fair Market Rent (FMR) and the median home value.
The FMR for ZIP 24569 for fiscal year 2024 is set at $960, which represents the maximum rent that a landlord can charge for a unit to be eligible under the Section 8 program. Given the median home value of $169,520 in this area, landlords can expect stable cash flow from tenants participating in the Section 8 program without the risk of significant depreciation in property value.
The median income in ZIP 24569 is $50,179, indicating that a substantial portion of the population relies on government assistance for housing. With a renter share of 9.9%, landlords should be aware that while there is a demand for rental properties, the overall rental market may not be as robust as in urban areas. However, this does not detract from the primary role of this ZIP code as a cash-flow anchor.
Landlords and small-portfolio investors looking to stabilize their revenue streams can benefit from the consistent payment structure provided by the Section 8 program. The FMR of $960 ensures a predictable income source, which is especially valuable in an area where market rents are not available, suggesting limited volatility in rental pricing.
While ZIP 24569 does not offer significant potential for rapid appreciation, given the lack of data on price-cut shares and days on market (DOM), the focus on cash flow stability makes it a solid choice for those seeking reliable returns. The absence of strong growth indicators means that this ZIP code should not be considered primarily as an appreciation play but rather as a steady performer within a diversified investment strategy.
In summary, ZIP 24569 acts as a cash-flow anchor within a Section 8 portfolio strategy, providing landlords with a dependable income source through the government-subsidized rent payments, despite the limited potential for capital appreciation.
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.