Location: Roane County, WV | Metro: Charleston, WV HUD Metro FMR Area
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 | $660 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,220 |
| 4 Bedrooms | $1,280 |
| 5 Bedrooms | $1,485 |
| 6 Bedrooms | $1,663 |
| 7 Bedrooms | $1,796 |
| 8 Bedrooms | $1,886 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,220 | $149,660 | 0.82% | C |
U.S. Census Bureau data (2024)
A skeptical investor looking into ZIP 25164 might have several concerns regarding the feasibility of investing in properties there, especially under the Section 8 program. Let's address these concerns head-on using available data.
Objection 1: Will Fair Market Rent (FMR) of $850 cover the mortgage on a $119,798 home?
The FMR of $850 can indeed provide a reasonable mortgage coverage for a home priced at $119,798. Assuming a typical down payment of 20%, the mortgage amount would be approximately $95,838. With an average interest rate of 4.5% over a 30-year term, the monthly mortgage payment would be around $480. This means that the FMR of $850 covers more than 177% of the mortgage payment, providing a significant buffer for maintenance and other expenses.
Objection 2: Is there enough renter demand at 7.4%?
The rental vacancy rate of 7.4% suggests a moderate level of demand. While it's higher than the national average, which typically hovers around 5-6%, it still indicates that a majority of rental units are occupied. A higher vacancy rate could mean increased competition among landlords, but it also implies a healthy supply of housing, which is beneficial for tenants and can stabilize the market. However, the data does not specify the number of rental units in ZIP 25164, making it challenging to quantify the exact demand. Nonetheless, a 7.4% vacancy rate is not alarmingly high and should not deter investment.
Objection 3: Will vouchers keep pace with the market rents?
The data provided does not include specific figures for voucher amounts or market rent trends in ZIP 25164. Therefore, it's difficult to definitively state whether vouchers will cover the increasing market rents. Typically, voucher programs adjust their payments periodically based on local cost-of-living changes, but this adjustment may not always match the pace of market rent increases. Landlords should monitor both the FMR adjustments and local rental market trends to ensure they maintain profitability.
In summary, while the data provides some clarity on the first two points, indicating that the FMR is sufficient to cover mortgage costs and that the rental vacancy rate is within manageable limits, the third objection remains somewhat speculative due to the lack of detailed information on voucher dynamics and future market rent trends in ZIP 25164.
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.