Location: Greensboro-High Point, NC | Metro: Greensboro-High Point, NC HUD Metro FMR Area
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 | $1,010 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,470 |
| 4 Bedrooms | $1,730 |
| 5 Bedrooms | $2,007 |
| 6 Bedrooms | $2,248 |
| 7 Bedrooms | $2,428 |
| 8 Bedrooms | $2,549 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,050 | $161,205 | 0.65% | D |
| 2BR | $1,140 | $148,508 | 0.77% | D |
| 3BR | $1,470 | $193,965 | 0.76% | D |
| 4BR | $1,730 | $271,037 | 0.64% | D |
U.S. Census Bureau data (2024)
The ZIP code 27401 in Greensboro, NC, presents an interesting scenario for both renters and landlords. The median household income stands at $47,972, which contrasts sharply with the market rate rent of $1,193 per month, known as the ZORI (Zillow Rent Index). This market rate represents a significant portion of the average household's income, making it challenging for residents to find affordable housing without financial assistance.
To put this into perspective, the Fair Market Rent (FMR) for ZIP 27401, which is set at $1,020 for fiscal year 2024, is considerably lower than the ZORI. This indicates that the government recognizes the need for more affordable rental options and sets the voucher payment standard accordingly. However, this means that many renters in ZIP 27401 may struggle to pay the higher market rates without relying on Housing Choice Vouchers, commonly referred to as Section 8 vouchers.
Given that 63.6% of the population are renters and the total population is 21,920, there is a substantial demand for rental properties. The affordability gap between the ZORI and the FMR suggests that landlords who accept Section 8 vouchers might have a more stable tenant base and less competition compared to those who only accept market-rate rents. Landlords should consider the benefits of accepting vouchers, including guaranteed rent payments and a steady stream of tenants who meet eligibility criteria.
The takeaway for landlords is clear: while cash-paying tenants might offer higher monthly rents, the reliability and stability provided by Section 8 voucher holders can be a valuable asset. Accepting vouchers can ensure consistent occupancy and reduce the risk of vacancies, especially in a competitive market where many households cannot afford the ZORI. For small-portfolio investors, diversifying their tenant mix to include voucher holders could be a strategic move to maintain a healthy cash flow and manage risks effectively.
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.