Section 8 Fair Market Rent (FMR) for ZIP 27311 - 2027

Location: Caswell County, NC | Metro: Rockingham County, NC HUD Metro FMR Area

Investment Score for ZIP 27311

D
Monthly Rent (2BR)
$1,010
Median Price (2BR)
$132,383
1% Rule
0.76%
Annual Yield
9.16%

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$760
1 Bedroom$780
2 Bedrooms$1,010
3 Bedrooms$1,310
4 Bedrooms$1,530
5 Bedrooms$1,775
6 Bedrooms$1,988
7 Bedrooms$2,147
8 Bedrooms$2,254

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 $1,010 $132,383 0.76% D
3BR $1,310 $181,981 0.72% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
3,842
Median Household Income
$39,044
Housing Units
1,561
Renter Percentage
33.8%
Occupancy Rate
87.6%
Renter Occupied
462

The ZIP code 27311, located in Pelham, North Carolina, is part of Caswell County and stands out due to its unique demographic and economic characteristics. With a population of 3,842 residents, it has a rental rate of 33.8%, indicating a significant portion of the community lives in rented properties. The median income here is $39,044, which is relatively low compared to many other areas, while the median home value is $165,692, suggesting that homeownership is still accessible despite the lower incomes.

Moving to the specifics of Section 8 voucher economics, the Fair Market Rent (FMR) for ZIP 27311 in fiscal year 2024 is set at $860. This figure is notably higher than the market rent average of $586, based on Census American Community Survey (ACS) data. This discrepancy means that landlords participating in the Section 8 program can expect to receive a higher rent subsidy for their units, making it financially beneficial to accept vouchers.

The data signature for ZIP 27311 reads as stable. The consistent rental rate and median income levels indicate a steady state of housing demand and affordability. Additionally, the higher FMR compared to the actual market rent suggests that the government's support through Section 8 vouchers can help maintain a balanced rental market without causing significant disruptions. For landlords and small-portfolio investors, this stability offers a reliable investment environment where Section 8 participation can provide a predictable income stream, aligning well with the local economic conditions.

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.