Location: Gates County, NC | Metro: Gates County, 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 | $1,470 |
| 1 Bedroom | $1,490 |
| 2 Bedrooms | $1,670 |
| 3 Bedrooms | $2,300 |
| 4 Bedrooms | $2,720 |
| 5 Bedrooms | $3,155 |
| 6 Bedrooms | $3,534 |
| 7 Bedrooms | $3,817 |
| 8 Bedrooms | $4,008 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,300 | $240,534 | 0.96% | C |
U.S. Census Bureau data (2024)
To classify ZIP code 27979, we must consider the yield and stability factors based on the provided data. The Fair Market Rent (FMR) for ZIP 27979 in fiscal year 2024 is set at $890. This figure represents the maximum monthly rent that a tenant participating in the Section 8 program can afford. Given that the median home value in this area is $220,191, the FMR suggests a moderate yield potential for landlords who can manage properties effectively.
The stability of the market is influenced by the percentage of renters, which stands at 10.5%. This indicates a relatively low number of renters in the area, which could suggest less demand for rental properties. However, the median household income of $63,170 provides insight into the financial health of the residents. This income level is stable but not exceptionally high, which might limit the ability of residents to pay above-market rents.
The lack of data regarding the average days on market (DOM) makes it challenging to assess the speed at which rental properties are typically filled. However, given the limited rental population and stable income levels, landlords should expect a slower turnover rate compared to areas with higher percentages of renters.
Based on these figures, ZIP 27979 appears to be a steady-cashflow zone. While the yield is not exceptionally high due to the relatively low FMR compared to the median home value, the stability provided by the median income ensures that tenants can likely afford their rent payments consistently. The low percentage of renters does not support a high-yield/low-stability classification, as there would be insufficient demand for such a strategy to succeed.
Landlords and small-portfolio investors should focus on long-term tenancy and property management efficiency to maximize returns in ZIP 27979. With an FMR of $890, they should aim to keep operating costs low and ensure that properties are well-maintained to attract and retain tenants. Additionally, diversifying their investment portfolio across multiple ZIP codes with varying characteristics could help balance overall risk and reward.
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.