Location: Fayette County, WV | Metro: Fayette County, 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 | $730 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,600 |
| 5 Bedrooms | $1,856 |
| 6 Bedrooms | $2,079 |
| 7 Bedrooms | $2,245 |
| 8 Bedrooms | $2,357 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $960 | $143,258 | 0.67% | D |
| 3BR | $1,260 | $207,337 | 0.61% | D |
U.S. Census Bureau data (2024)
A skeptical investor considering Ansted, WV (ZIP 25938) might raise several concerns regarding the viability of investing in properties eligible for the Housing Choice Voucher program, commonly known as Section 8. Here are some common objections and how the data addresses them.
Objection 1: Will Fair Market Rent (FMR) of $1010 for fiscal year 2024 cover the mortgage on a home valued at $166,169?
The FMR set by the U.S. Department of Housing and Urban Development (HUD) is designed to ensure that voucher holders can find suitable housing within their means. However, it's crucial to understand that the FMR does not directly correlate with the mortgage payments on a property. In Ansted, the FMR of $1010 is intended to cover rental costs, which includes utilities and other expenses. To accurately determine if this FMR will cover mortgage payments, an investor must consider the interest rate, loan terms, and down payment. For instance, with a typical 30-year fixed-rate mortgage and a down payment, the monthly mortgage payment on a $166,169 home could be significantly lower than $1010, especially given current low-interest rates. This suggests that the FMR can indeed cover the mortgage, but the exact amount will depend on individual financial circumstances.
Objection 2: Is there enough renter demand at 20.9%?
The percentage of renter-occupied housing units in Ansted is 20.9%. While this figure might seem low, it's important to recognize that it reflects the local housing market dynamics. The demand for Section 8 properties is often higher due to the limited availability of affordable housing options. Additionally, the percentage does not indicate the total number of renters but rather the proportion of the housing stock that is rented. To gauge actual demand, an investor should look into the local vacancy rates and the waiting list lengths for public housing or rental assistance programs. HUD data can provide insights into these factors, helping to clarify whether the demand meets the supply.
Objection 3: Will vouchers keep pace with market rents?
The data indicates that the FMR for Ansted is $1010, but the information regarding market rents is not available. This lack of data makes it challenging to assess whether voucher amounts will match the actual market rents. Historically, HUD adjusts the FMR annually based on cost-of-living changes and market conditions. If Ansted experiences inflation or rising housing costs, the FMR will likely increase to reflect these changes. However, without specific market rent figures, it's impossible to definitively state whether vouchers will keep up with the local housing market trends. Investors should monitor local real estate listings and consult with local real estate agents to get a better understanding of how market rents compare to the FMR.
In conclusion, while the data provides a starting point for evaluating the potential of investing in Section 8 properties in Ansted, additional research is necessary to fully address the concerns raised by a skeptical investor. Understanding the specific financial details of a potential investment and staying informed about local market conditions are key steps in making an educated decision.
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.