Location: Morgantown, WV | Metro: Morgantown, WV MSA
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 | $940 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,220 |
| 3 Bedrooms | $1,500 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $960 | $129,796 | 0.74% | D |
| 2BR | $1,220 | $198,073 | 0.62% | D |
| 3BR | $1,500 | $308,011 | 0.49% | F |
| 4BR | $1,820 | $492,402 | 0.37% | F |
| 5BR | $2,111 | $700,485 | 0.3% | F |
U.S. Census Bureau data (2024)
In Morgantown, WV (ZIP 26508), the real estate market presents a nuanced landscape for landlords and small-portfolio investors. The median home value stands at $327,552, indicating a stable housing market where slight reductions in listing prices have occurred, with only 0.2% of listings being lowered. This suggests that sellers are maintaining their asking prices, reflecting strong pricing power.
The median days on market (DOM) is 36 days, which is relatively low. This indicates that homes are selling quickly, further reinforcing the idea that there is a healthy demand for properties in the area. Rapid sales typically correlate with higher property values, as buyers compete for limited inventory.
On the rental side, the Federal Market Rent (FMR) for ZIP 26508 in fiscal year 2024 is projected at $1,160, while the actual market rent, measured by Zillow's Observed Rental Index (ZORI), is $1,898. This significant gap between government estimates and actual market conditions signals robust rental demand, likely due to Morgantown's status as a college town. Investors can leverage this dynamic to secure steady rental income, even as they hold properties long-term.
The setup implied by the data suggests that long-hold investors should anticipate modest appreciation in property values. While the reduction in listing prices is minimal, the quick sale times and high rental rates indicate a market that is unlikely to experience substantial declines. However, the appreciation thesis is tempered by the fact that the median home value has remained fairly stable, implying limited potential for rapid growth.
Landlords and small-portfolio investors should focus on the rental income potential rather than speculative appreciation. With the FMR significantly below the market rent, investors can expect to command higher rents, making rental properties a reliable investment. Additionally, the low DOM and stable home values suggest that the local market will continue to support these rental rates, providing a solid foundation for long-term investments.
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.