Location: Morgantown, WV | Metro: Morgantown, WV MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $880 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,710 |
| 5 Bedrooms | $1,984 |
| 6 Bedrooms | $2,222 |
| 7 Bedrooms | $2,400 |
| 8 Bedrooms | $2,520 |
U.S. Census Bureau data (2024)
A skeptical investor looking into ZIP 26534 might have several concerns regarding the feasibility of investing in properties within this area, especially in relation to Section 8 housing programs. Let's address these concerns directly with the available data.
The first objection is whether the Fair Market Rent (FMR) of $950 for ZIP 26534 in fiscal year 2024 will be sufficient to cover the mortgage on a property. The data does not provide specifics on average home prices or mortgage rates for this zip code, which makes it difficult to definitively state that $950 will cover the mortgage. However, it is crucial to consider the location and the typical mortgage costs associated with similar areas to make an informed decision. For instance, if the median home value is lower and mortgage rates are favorable, then $950 could indeed cover the mortgage effectively.
The second concern revolves around the level of renter demand in ZIP 26534, which stands at 43.4%. This figure suggests that nearly half of the households in the area are renters, indicating a substantial market for rental properties. While this percentage is significant, it's important to note that the demand must also be matched with supply and the willingness of tenants to participate in Section 8 programs. If the demand for affordable housing is high, then this percentage should support a healthy rental market for Section 8 landlords.
Lastly, an investor might question whether the voucher amounts will keep up with the market rents, which are currently at $897. The gap between the FMR ($950) and the market rent ($897) is relatively small, suggesting that vouchers can closely follow the market trends. However, the sustainability of this alignment depends on federal funding levels and local adjustments to the voucher system. Without specific projections on future funding and adjustments, it's challenging to predict how well vouchers will keep pace with rising market rents beyond the current data point.
In conclusion, while some aspects of investment in ZIP 26534 remain speculative due to the lack of comprehensive data, the current indicators suggest a viable opportunity for landlords and small-portfolio investors interested in Section 8 housing. The FMR aligns closely with market rents, and the renter demand is substantial, making it a promising area for such investments.
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.