Location: Lincoln County, WV | Metro: Lincoln County, WV
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 | $710 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,200 | $99,090 | 1.21% | A |
U.S. Census Bureau data (2024)
The Section 8 cap-rate analysis for ZIP code 25571 reveals some interesting dynamics when comparing federal market rent (FMR) to actual market rent. For a two-bedroom unit, the FMR set at $850 per month for FY 2024 implies an annualized rent of $10,200. Given the median home value in the area stands at $93,427, this translates into a gross yield of approximately 11%. On the other hand, the market rent of $768 per month, as reported by the Census ACS, amounts to an annual rent of $9,216, resulting in a gross yield of about 10%.
To determine which scenario is more realistic, consider the local rental market conditions. With a renter density of 40.2%, it's evident that there is a significant portion of the population relying on rental housing, including Section 8 vouchers. However, the N/A-day days on market (DOM) suggests either insufficient data or a rapidly changing market where units are occupied almost immediately upon listing, which could indicate strong demand for rental properties. This high demand supports the potential for achieving the higher FMR-based gross yield.
Despite the theoretical possibility of earning a gross yield of 11% based on FMR, the actual market rent scenario of 10% is likely more reflective of what landlords and small-portfolio investors can expect in ZIP 25571. Market forces often dictate that rents align more closely with what tenants can afford, even if government-set rates are higher. Thus, while aiming for the FMR rate might be desirable, securing tenants at the market rate of $768 per month is a more practical expectation, leading to a slightly lower but still attractive gross yield of 10%.
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.