Location: Lee County, NC | Metro: Harnett County, NC
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 | $840 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,030 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,650 |
| 5 Bedrooms | $1,914 |
| 6 Bedrooms | $2,144 |
| 7 Bedrooms | $2,316 |
| 8 Bedrooms | $2,432 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,030 | $208,274 | 0.49% | F |
| 3BR | $1,350 | $282,104 | 0.48% | F |
| 4BR | $1,650 | $340,443 | 0.48% | F |
U.S. Census Bureau data (2024)
The median income in ZIP 27505, located in Broadway, North Carolina, stands at $79,462. This figure places significant constraints on the average household's ability to afford the market rate rent of $1,006 per month, as reported by the Census Bureau's American Community Survey (ACS).
To put this into perspective, the monthly housing cost for a household earning the median income would be around $6,622 if they were to allocate 30% of their income towards rent. However, the actual market rate is notably lower at $1,006, indicating that while renting is affordable, it leaves a substantial portion of the median income available for other expenses.
Comparatively, the Fair Market Rent (FMR) set by HUD for ZIP 27505 in fiscal year 2024 is $1,040. This means that households receiving rental assistance through vouchers can afford slightly higher rent than the market rate, but still below the FMR threshold. The difference between the market rate and the FMR highlights an affordability gap for those relying solely on market rates versus those with voucher support.
Given that 23.9% of the 8,152 residents are renters, there is a notable segment of the population that could benefit from rental assistance programs. For landlords, this translates to increased competition for tenants who can pay the full market rate without assistance. Landlords must consider the balance between accepting voucher payments and maintaining a portfolio of cash-paying tenants.
The takeaway for landlords is clear: accepting Section 8 vouchers can expand your tenant pool, especially in a market where the median income suggests limited disposable income for high rents. While voucher payments might stabilize cash flow, they also introduce administrative complexities. Landlords should weigh these factors carefully when deciding their tenant mix strategy.
In conclusion, the affordability gap in ZIP 27505 presents both challenges and opportunities for landlords. By understanding the financial landscape, landlords can make informed decisions about whether to prioritize voucher tenants or focus on attracting cash-paying renters willing to meet the market rate of $1,006 per month.
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.