Section 8 Fair Market Rent (FMR) for ZIP 27613 - 2027

Investment Score for ZIP 27613

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	$1,490
1 Bedroom	$1,550
2 Bedrooms	$1,690
3 Bedrooms	$2,110
4 Bedrooms	$2,820
5 Bedrooms	$3,271
6 Bedrooms	$3,664
7 Bedrooms	$3,957
8 Bedrooms	$4,155

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,690	$289,739	0.58%	F
3BR	$2,110	$448,949	0.47%	F
4BR	$2,820	$731,425	0.39%	F
5BR	$3,271	$914,569	0.36%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 27613 (Raleigh, NC) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 27613 in Raleigh, North Carolina, is set by HUD for 2026. For a two-bedroom apartment, the FMR is $1740 per month. However, the Zillow median price for a two-bedroom home in this area is $296,984, which translates to a monthly rent of approximately $1400 based on typical mortgage payments and rental yields. This means that the actual rent in the market is slightly below the FMR, but still relatively high compared to other areas. The price-to-FMR ratio of 14.2x indicates that property values are significantly higher than the rent levels, which could pose challenges for voucher holders who may struggle to find units within their budget. HUD’s Section 8 program aims to provide affordable housing options for low-income families. In ZIP 27613, the 2BR FMR represents only 16.8% of the median household income of $123,966, suggesting that the FMR is quite low relative to local incomes. This discrepancy can create a situation where landlords might be hesitant to accept vouchers due to the lower rent they receive compared to market rates. Additionally, the occupancy rate of 93.4% suggests that there is little vacancy in the rental market, making it even harder for voucher holders to secure housing. #### Affordability & Renter Profile ZIP 27613 has a population of 45,235, with 30.2% of residents being renters. Given the median household income of $123,966, it is clear that this area caters primarily to higher-income individuals. The median rent for a two-bedroom unit is $1740, which is a significant portion of the average renter's income. With such a high median income, the typical renter in this ZIP code is likely to be a professional or young family seeking affordable housing options in a desirable location. The tight market conditions, evidenced by the high occupancy rate, indicate that there is strong demand for rental properties. This makes it difficult for lower-income renters to find suitable housing, especially when relying on Section 8 vouchers. The limited supply of rental units that accept vouchers could exacerbate affordability issues for those who depend on them. #### Investor Angle From an investor perspective, the ZIP code 27613 presents a mixed picture. While the FMRs are lower than market rents, the high property values and tight market suggest that rental yields might be challenging. An investor looking to achieve cash flow positivity would need to carefully consider the balance between purchase price, maintenance costs, and potential rental income. Given the Zillow median price of $296,984 for a two-bedroom home, the typical monthly mortgage payment would be around $1400, assuming a 30-year fixed-rate mortgage at a 4% interest rate. Adding property taxes, insurance, and maintenance costs, the total monthly expenses could easily exceed the FMR of $1740. Therefore, while the FMR provides a guideline for affordable rents, it may not be sufficient to cover all expenses for an investor. The investment grade for this ZIP code is likely to be moderate to low for Section 8-focused investors. The high price-to-FMR ratio and the potential for lower rental income compared to market rates make it less attractive for investors seeking high returns. However, the strong demand for rental properties and the high occupancy rate could still offer some stability in terms of tenancy. #### Specific Actionable Insights 1. **Target Lower-Income Units**: Investors should focus on acquiring properties that are more aligned with the lower end of the rental spectrum. For example, a one-bedroom unit with an FMR of $1590 might be more financially viable if the purchase price is closer to the median for similar-sized homes. This would help ensure that rental income covers operating expenses. 2. **Consider Property Value Trends**: Given the high price-to-FMR ratio, investors should closely monitor property value trends. If property values continue to rise faster than rents, the investment will become less attractive over time. Conversely, if rents start to increase due to growing demand, the investment could become more profitable. 3. **Explore Government Programs**: Investors should explore additional government programs that might supplement the income from Section 8 vouchers. For instance, the Low-Income Housing Tax Credit (LIHTC) program can provide tax incentives for developing affordable housing. Combining these incentives with Section 8 vouchers could improve the overall financial viability of the investment. #### Bottom Line For Section 8-focused investors, the recommendation for ZIP code 27613 is to **Skip**. The high property values and the tight rental market make it challenging to achieve positive cash flow solely through Section 8 vouchers. The investment grade is low due to the high price-to-FMR ratio and the potential for limited rental income. Investors should consider areas with more favorable ratios and higher acceptance rates for Section 8 vouchers to maximize their returns.

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.