Section 8 Fair Market Rent (FMR) for ZIP 27306 - 2027

Location: Richmond County, NC | Metro: Montgomery County, NC

Investment Score for ZIP 27306

F
Monthly Rent (2BR)
$1,030
Median Price (2BR)
$254,025
1% Rule
0.41%
Annual Yield
4.87%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$840
1 Bedroom$840
2 Bedrooms$1,030
3 Bedrooms$1,350
4 Bedrooms$1,700
5 Bedrooms$1,972
6 Bedrooms$2,209
7 Bedrooms$2,386
8 Bedrooms$2,505

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,030 $254,025 0.41% F
3BR $1,350 $320,844 0.42% F
4BR $1,700 $394,630 0.43% F
5BR $1,972 $659,645 0.3% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
5,486
Median Household Income
$57,934
Housing Units
4,279
Renter Percentage
22.0%
Occupancy Rate
59.7%
Renter Occupied
563

The ZIP code 27306, located in Mount Gilead, North Carolina, stands out within Montgomery County due to its unique demographic and economic characteristics. With a population of 5,486 residents, 22.0% of whom are renters, the area has a median household income of $57,934 and a median home value of $207,254. These figures paint a picture of a community that is relatively stable but also offers opportunities for rental properties.

In terms of Section 8 voucher economics, the Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $980, which is notably higher than the current market rent of $793 as reported by the Census Bureau's American Community Survey (ACS). This gap indicates that landlords participating in the Section 8 program can expect to receive higher rents compared to the local market average, making it a potentially attractive option for property owners in Mount Gilead.

The data suggests that the ZIP 27306 is currently in a stable phase. The median income and home values indicate a middle-class community where housing affordability is balanced, and the slight increase in FMR over the market rent could provide a buffer against potential economic downturns. However, the relatively low percentage of renters might imply limited demand for rental properties, including those supported by vouchers. Therefore, landlords should consider the overall stability of the area when deciding to participate in the Section 8 program.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.