Section 8 Fair Market Rent (FMR) for ZIP 25081 - 2027

Investment Score for ZIP 25081

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	$660
1 Bedroom	$720
2 Bedrooms	$940
3 Bedrooms	$1,260
4 Bedrooms	$1,590
5 Bedrooms	$1,844
6 Bedrooms	$2,065
7 Bedrooms	$2,230
8 Bedrooms	$2,342

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
3BR	$1,260	$177,860	0.71%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Based on the available data, the Fair Market Rent (FMR) for ZIP code 25081 in Foster, West Virginia, for fiscal year 2024 is set at $910. However, the current market rent for the area is reported to be in the range of $500 to $749 per month for a typical 2-bedroom rental unit, which includes utilities. This indicates that the FMR exceeds the market rent by approximately $161 to $410 per month, depending on the specific market rate.

The gap between the FMR and the market rent is significant, ranging from about 18% to 41%. This discrepancy makes ZIP code 25081 an attractive yield play for landlords and small-portfolio investors who accept housing vouchers. Voucher tenants provide a guaranteed income stream, backed by federal funds, ensuring that landlords receive the full FMR amount regardless of the lower market rates.

However, accepting voucher tenants also comes with its own set of considerations. The administrative burden of dealing with government programs can be higher compared to traditional market-rate rentals. Landlords must adhere to specific regulations and requirements, which can affect the overall management of their properties.

In the broader context of ZIP code 25081, only 4.3% of residents are renters, indicating a primarily owner-occupied area. The median home value stands at $151,313, while the median household income is $108,125. These figures suggest that the area has a relatively stable economic environment, which could support steady demand for rental properties among those eligible for housing vouchers.

To summarize, the gap between the FMR and the market rent in ZIP code 25081 presents an opportunity for investors to achieve better yields through housing vouchers. Despite the potential for higher administrative overhead, the financial guarantee provided by voucher programs can offset the risk associated with lower market rents.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.