Location: Tazewell County, VA | Metro: Tazewell County, VA
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 | $790 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,150 |
| 4 Bedrooms | $1,270 |
| 5 Bedrooms | $1,473 |
| 6 Bedrooms | $1,650 |
| 7 Bedrooms | $1,782 |
| 8 Bedrooms | $1,871 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $940 | $78,716 | 1.19% | B |
| 3BR | $1,150 | $154,292 | 0.75% | D |
| 4BR | $1,270 | $219,046 | 0.58% | F |
U.S. Census Bureau data (2024)
North Tazewell, VA, located in ZIP code 24630, is a modest-sized community with a total population of 5,307 residents. The area reflects a blend of homeownership and rental living, with 30.9% of the residents being renters. This suggests a balanced mix of long-term residents and those who prefer the flexibility of renting. The median household income in North Tazewell is $57,254, indicating a middle-class community where many residents can afford to live without significant financial strain. The median home value stands at $131,229, which is relatively affordable compared to many other regions in the country.
The economic landscape of North Tazewell is particularly interesting when it comes to rental properties. According to the Fair Market Rent (FMR) data for fiscal year 2026, the FMR for the metro area is set at $910. However, the actual market rent, based on Census ACS data, is $833. This discrepancy highlights an opportunity for investors, especially those considering Section 8 housing. The lower market rent means there is room for growth, potentially allowing investors to increase rents closer to the FMR level while still maintaining affordability for low-income families.
Given these economic conditions, North Tazewell could be an attractive option for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the stability of the Section 8 program ensures a steady stream of income, though the potential for high returns might be limited due to the fixed nature of the voucher payments. On the other hand, for hands-on value-add buyers, the gap between the FMR and the current market rent presents an opportunity to improve property quality and gradually increase rents, thereby enhancing profitability over time.
In summary, North Tazewell, VA offers a stable environment for real estate investment, particularly in the realm of Section 8 housing. With a median income of $57,254 and a median home value of $131,229, the area supports a viable rental market. The difference between the FMR of $910 and the current market rent of $833 suggests that both passive and active management styles could find success here. For passive investors, the security of the Section 8 program is appealing; for active investors, the potential to increase rents as properties are improved makes North Tazewell a promising investment location.
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.