Section 8 Fair Market Rent (FMR) for ZIP 27856 - 2027

Location: Rocky Mount, NC | Metro: Rocky Mount, NC MSA

Investment Score for ZIP 27856

D
Monthly Rent (2BR)
$1,150
Median Price (2BR)
$163,883
1% Rule
0.7%
Annual Yield
8.42%

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$950
1 Bedroom$960
2 Bedrooms$1,150
3 Bedrooms$1,540
4 Bedrooms$1,760
5 Bedrooms$2,042
6 Bedrooms$2,287
7 Bedrooms$2,470
8 Bedrooms$2,594

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 $1,150 $163,883 0.7% D
3BR $1,540 $254,104 0.61% D
4BR $1,760 $328,563 0.54% F
5BR $2,042 $335,789 0.61% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
17,081
Median Household Income
$66,510
Housing Units
7,283
Renter Percentage
33.0%
Occupancy Rate
88.5%
Renter Occupied
2,128

ZIP 27856, located within the Nashville, NC, Rocky Mount, NC MSA metro area, presents an intriguing opportunity for inclusion in a Section 8 portfolio strategy. This ZIP code should be considered primarily as a cash-flow anchor due to the significant spread between the Fair Market Rent (FMR) set at $1070 for fiscal year 2024 and the actual market rent of $883. The difference, amounting to $187 per month, indicates that properties in this area can be leased out at rates higher than the market average when participating in the Section 8 program.

The median home value in ZIP 27856 stands at $256,461. While this figure might seem substantial, it is important to note that the median income in the area is $66,510, which suggests that homeownership could be challenging for many residents. As a result, the 33.0% renter share is indicative of a robust demand for rental properties, particularly those that cater to low-income individuals through programs like Section 8.

The 0.3% price-cut share and the N/A-day Days on Market (DOM) indicate that the real estate market in ZIP 27856 is relatively stable, with minimal need for price reductions to attract buyers or renters. This stability supports the idea of using this ZIP code as a cash-flow anchor, as it ensures steady income without the volatility associated with rapidly changing markets.

In summary, ZIP 27856 is best suited as a cash-flow anchor within a Section 8 portfolio strategy. The $187 monthly spread between the FMR and market rent provides a reliable cushion for maintaining positive cash flow, while the stable real estate market minimizes risks associated with rapid price fluctuations. Landlords and small-portfolio investors looking to secure consistent income streams should prioritize this ZIP code for its financial predictability and the strong demand for affordable housing options.

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.