Section 8 Fair Market Rent (FMR) for ZIP 25181 - 2027

Location: Boone County, WV | Metro: Boone County, WV HUD Metro FMR Area

Investment Score for ZIP 25181

N/A

Monthly Rent (2BR)

$940

Median Price (2BR)

$N/A

1% Rule

Annual Yield

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	$86,987	1.45%	A

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

1,457

Median Household Income

$46,705

Housing Units

535

Renter Percentage

5.8%

Occupancy Rate

100.0%

Renter Occupied

The ZIP code 25181, located in West Virginia, is characterized by its rural setting and modest economic conditions. This area offers opportunities for landlords and small-portfolio investors looking to enter a market with relatively low barriers to entry. However, it's important to consider the specific metrics that define the local real estate landscape.

The Fair Market Rent (FMR) for ZIP 25181 in fiscal year 2024 is set at $850, indicating the maximum amount HUD will pay for low-income housing rental assistance.
The market rent, as reported by the Census Bureau's American Community Survey, stands at $493, which is significantly below the FMR, suggesting that the rental market may be somewhat depressed.
The median home value in the area is $69,494, making property acquisition more affordable compared to other regions.
Renters make up only 5.8% of the population, pointing towards a preference for homeownership among residents.
The median income in ZIP 25181 is $46,705, which is lower than the national average, potentially affecting the ability of tenants to afford higher rents.

In summary, ZIP 25181 presents a niche opportunity for real estate investment with a focus on affordability. The disparity between the FMR and actual market rents suggests that there may be room for slight rent increases, but investors should be cautious not to exceed the financial capacity of local tenants. The low median home value indicates that purchasing properties can be cost-effective, while the limited renter share of the population implies a need to attract tenants through competitive pricing or amenities. Given these factors, landlords and small-portfolio investors should carefully balance their expectations with the realities of the local economy to ensure sustainable returns.

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.