Location: McDowell County, WV | Metro: McDowell County, WV
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $720 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,250 |
| 5 Bedrooms | $1,450 |
| 6 Bedrooms | $1,624 |
| 7 Bedrooms | $1,754 |
| 8 Bedrooms | $1,842 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 24872, located in McDowell County, WV, reveals several key points that landlords and small-portfolio investors should consider before making investment decisions.
The first question addresses whether the rent math works. The Fair Market Rent (FMR) for the area in fiscal year 2026 is set at $870. However, the market rent data is currently unavailable, which makes it challenging to directly compare the two figures. Without accurate market rent data, it's impossible to determine if the FMR is above or below what tenants are willing to pay. This uncertainty is a risk factor that investors must be aware of.
Regarding the affordability of acquisitions, the median home value in ZIP 24872 stands at $50,686. This relatively low figure suggests that purchasing properties could be financially viable for investors looking to enter the market. However, the lack of data on the number of days on the market (DOM) and the percentage of homes requiring price cuts indicates an incomplete picture of the local housing market dynamics. These metrics would provide crucial insights into how quickly homes sell and at what discounts, which are essential factors for assessing the financial feasibility of acquisitions.
When evaluating tenant demand, the population of ZIP 24872 is 477, with 8.9% of residents being renters. This low renter share implies a limited pool of potential tenants, which could pose challenges in maintaining occupancy rates. Given the small population size, any significant changes in the local economy could disproportionately affect the availability and willingness of renters to occupy units at the proposed FMR of $870.
Verdict: While the median home value of $50,686 presents a potentially affordable entry point for property acquisition, the lack of detailed market rent data and tenant demand metrics introduces substantial risks. The low renter share of 8.9% further complicates the prospect of sustained occupancy. Investors should proceed cautiously, ensuring they have a comprehensive understanding of the local economic conditions and trends before committing to investments in ZIP 24872.
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.