Location: Huntington-Ashland, WV | Metro: Huntington-Ashland, WV-KY-OH 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 | $920 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,080 |
| 3 Bedrooms | $1,380 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,080 | $94,742 | 1.14% | B |
| 3BR | $1,380 | $155,713 | 0.89% | C |
| 4BR | $1,500 | $204,736 | 0.73% | D |
U.S. Census Bureau data (2024)
A skeptical investor considering Fort Gay, WV (ZIP 25514) for their Section 8 portfolio might raise several objections based on the available data. Here are three key concerns, addressed with the facts:
Objection 1: Will Fair Market Rent (FMR) of $960 cover the mortgage on a $129,443 home?
The FMR of $960 for ZIP 25514 in fiscal year 2024 must be compared against the potential mortgage payments on a home valued at $129,443. Assuming a standard 30-year fixed-rate mortgage at an interest rate of 4%, the monthly payment would be approximately $620. This means that the FMR of $960 does indeed cover the mortgage, leaving a buffer for maintenance, taxes, and insurance.
Objection 2: Is there enough renter demand at 22.3%?
The rental demand in Fort Gay, WV, stands at 22.3%. While this percentage may seem low, it's important to consider the context. A lower percentage can still represent a significant number of potential tenants in a smaller market. The challenge here lies in accurately assessing whether this demand translates into a steady stream of qualified applicants. The data alone does not provide insight into the competition for Section 8 tenants or the vacancy rates in the area.
Objection 3: Will vouchers keep pace with $943 market rents?
The FMR of $960 is slightly above the market rent of $943, suggesting that vouchers will likely cover the average rent in the area. However, the question remains whether these vouchers will adjust annually to match any increases in market rents. To fully address this concern, one would need to examine historical trends of voucher adjustments and compare them with local rent increases. The provided data does not offer a complete picture of future adjustments, so caution is advised when making long-term financial projections.
In summary, while the FMR in ZIP 25514 covers the mortgage and is competitive with market rents, the data leaves some questions unanswered regarding the reliability of tenant demand and the long-term stability of voucher amounts. Careful consideration and further research are necessary before committing to investment in this area.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.