Location: Martinsburg, WV | Metro: Martinsburg, 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 | $980 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,870 |
| 4 Bedrooms | $2,130 |
| 5 Bedrooms | $2,471 |
| 6 Bedrooms | $2,768 |
| 7 Bedrooms | $2,989 |
| 8 Bedrooms | $3,138 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,350 | $241,724 | 0.56% | F |
| 3BR | $1,870 | $313,066 | 0.6% | F |
| 4BR | $2,130 | $378,920 | 0.56% | F |
U.S. Census Bureau data (2024)
A skeptical investor might first ask whether the Fair Market Rent (FMR) of $1,330 for ZIP 25428 in fiscal year 2024 will sufficiently cover the mortgage on a home valued at $317,012. To determine this, we need to calculate the potential mortgage payment. Assuming a 30-year fixed-rate mortgage with an interest rate of 4%, the monthly principal and interest payment on a $317,012 home would be approximately $1,530. This exceeds the FMR, indicating that the rent alone would not cover the mortgage payment. However, it's important to note that this calculation does not take into account other factors such as property taxes, insurance, and maintenance costs, which can further impact profitability.
The second objection is whether there is enough renter demand at 10.1%. The rental vacancy rate is a key indicator of demand. A lower vacancy rate suggests higher demand, but the data provided does not specify the exact vacancy rate for ZIP 25428. Instead, we have a general reference to the rental vacancy rate being related to the percentage of renters in the area. With only 10.1% of the population identified as renters, this could imply a limited pool of potential tenants. However, without precise vacancy rate data, we cannot definitively conclude the level of demand. It's also worth noting that even in areas with low renter populations, there can still be strong demand for affordable housing options.
The final concern is whether housing vouchers will keep pace with the market rents of $1,377. While the data indicates that vouchers are used in the area, it does not provide specific figures on the number of vouchers or their average value. Therefore, it's difficult to make a definitive statement. Generally, housing vouchers aim to cover a significant portion of market rents, but they often do not fully meet the current market rates. Landlords should consider the additional administrative burden and potential delays associated with voucher programs when evaluating their suitability for covering market rents.
In summary, while the FMR does not fully cover the mortgage on a $317,012 home, the overall investment landscape in ZIP 25428 requires a deeper analysis beyond these initial data points. The limited renter population and uncertain pace of voucher payments present challenges, but they do not necessarily preclude successful investment. Further research into local market conditions, including vacancy rates and the specifics of housing voucher programs, is recommended.
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.