Section 8 Fair Market Rent (FMR) for ZIP 24586 - 2027

Location: Pittsylvania County-Danville city, VA | Metro: Pittsylvania County-Danville city, VA HUD Nonmetro FMR Area

Investment Score for ZIP 24586

C
Monthly Rent (2BR)
$980
Median Price (2BR)
$118,248
1% Rule
0.83%
Annual Yield
9.95%

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$710
1 Bedroom$800
2 Bedrooms$980
3 Bedrooms$1,340
4 Bedrooms$1,500
5 Bedrooms$1,740
6 Bedrooms$1,949
7 Bedrooms$2,105
8 Bedrooms$2,210

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $980 $118,248 0.83% C
3BR $1,340 $243,184 0.55% F
4BR $1,500 $306,102 0.49% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
4,807
Median Household Income
$53,962
Housing Units
2,410
Renter Percentage
24.8%
Occupancy Rate
86.0%
Renter Occupied
514

Ringgold, VA, located in ZIP code 24586, is a modest-sized neighborhood with a population of 4,807 residents. Approximately 24.8% of these residents are renters, indicating a relatively small rental market compared to owner-occupied housing. The median household income here is $53,962, which places it squarely in the middle-income range, suggesting a stable economic environment. Median home values in this area stand at $186,605, reflecting a mix of affordability and quality living spaces.

The economic landscape of Ringgold, VA, is further defined by its rental market dynamics. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,080, while the actual market rent based on Census ACS data is $976. This indicates that there is a slight premium for federally subsidized rents over the local market rates, which can be beneficial for landlords participating in the Section 8 program. The gap between FMR and market rent suggests potential opportunities for landlords to adjust their pricing slightly higher without deterring tenants who benefit from voucher assistance.

Considering the characteristics of this neighborhood, it appears to be suitable for both hands-off voucher operators and hands-on value-add buyers. For those preferring a hands-off approach, the stability of the rental market and the modest difference between FMR and market rent make it an attractive location where minimal management effort could yield steady returns. On the other hand, for hands-on investors looking to add value, the lower median home value presents opportunities to purchase properties, improve them, and potentially capture a higher portion of the FMR, thereby increasing profitability.

In summary, ZIP code 24586 offers a balanced environment for real estate investment, particularly within the Section 8 framework. With a median income of $53,962 and median home values of $186,605, coupled with a reasonable disparity between FMR and market rent, both passive and active investors can find strategies to succeed in this market.

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.