Section 8 Fair Market Rent (FMR) for ZIP 26283 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Housing Authorities Serving ZIP 26283

• Housing Authority of Randolph County (Elkins, WV) - 732 Section 8 vouchers
• Housing Authority of the City of Elkins (Elkins, WV)

A skeptical investor looking into the real estate market in ZIP code 26283, Montrose, WV, might have several concerns regarding the feasibility of investing in this area, particularly under the Section 8 program. Let's address these concerns with the available data.

• Will Fair Market Rent ($890 for metro FY 2026) cover the mortgage on a $145,820 home? The fair market rent (FMR) of $890 per month needs to be compared against the mortgage payment for a home priced at $145,820. Assuming a typical 30-year fixed-rate mortgage at an interest rate of 4%, the monthly mortgage payment would be approximately $715. This means that the FMR of $890 is sufficient to cover the mortgage payment and leave a buffer of $175 for maintenance, taxes, and other expenses. However, it's important to note that the actual mortgage amount can vary based on the down payment, credit score, and specific terms of the loan.
• Is there enough renter demand at 9.3%? The rental vacancy rate of 9.3% in Montrose, WV, suggests a moderate level of demand for rental properties. While a lower vacancy rate would indicate stronger demand, a 9.3% rate is not unusually high and implies that there is a steady pool of renters. To provide a clearer picture, we should consider the population trends and job market stability in the area. Unfortunately, the provided data does not include these specifics, so we cannot definitively conclude the strength of renter demand without further investigation.
• Will vouchers keep pace with $572 market rents? The average market rent of $572 is significantly below the FMR of $890, which indicates that voucher holders could potentially cover the entire rent amount. However, the critical question is whether the Section 8 voucher payments will increase to match the FMR as it rises over time. According to HUD guidelines, voucher payments are adjusted annually based on the FMR, but the data does not specify if the adjustment for ZIP 26283 will keep up with the rising FMR. It's essential for investors to monitor the local HUD office announcements and adjust their expectations accordingly.

In conclusion, while the FMR of $890 is adequate to cover the mortgage on a $145,820 home, the rental vacancy rate and future adjustments of voucher payments to market rents remain uncertain factors. Careful consideration and continuous monitoring of local real estate and economic conditions are recommended for any investment decision in Montrose, WV.

Data Sources: FMR data from HUD (2027). 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.