Location: Hickory-Lenoir-Morganton, NC | Metro: Lincoln 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 | $1,160 |
| 1 Bedroom | $1,200 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,800 |
| 4 Bedrooms | $2,180 |
| 5 Bedrooms | $2,529 |
| 6 Bedrooms | $2,832 |
| 7 Bedrooms | $3,059 |
| 8 Bedrooms | $3,212 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,320 | $458,200 | 0.29% | F |
| 3BR | $1,800 | $459,469 | 0.39% | F |
| 4BR | $2,180 | $684,907 | 0.32% | F |
| 5BR | $2,529 | $757,015 | 0.33% | F |
U.S. Census Bureau data (2024)
16.2% of the population in ZIP 28037 rents their homes, indicating a smaller but present rental market. $543,864 stands as the median home value, suggesting a moderate housing market. Landlords can expect $1,806 as the average market rent per unit, known as ZORI, which is significantly higher than the $1230 Fair Market Rent (FMR) for the area in fiscal year 2024. This gap highlights a potential opportunity for landlords to charge above the FMR for quality properties. The median income of $111,703 provides insight into the financial capacity of residents, though it's important to note that the FMR is set at approximately 30% of the area median income, making it a relevant benchmark for affordability.
With an average daily DOM (days on market) listed as N/A, it's unclear how quickly properties are typically sold in this area. However, the 0.2% price-cut share indicates that very few listings require price reductions, suggesting a stable and competitive market for both rentals and sales. For landlords and small-portfolio investors looking to enter the Denver, NC market, the difference between the ZORI and the FMR offers a clear path to maximizing rental income while still adhering to Section 8 guidelines.
The verdict on Section 8 participation in ZIP 28037 is positive, given the favorable rent-to-income ratio and the stability indicated by the low price-cut share. Investors should consider the potential for above-average rental rates while ensuring compliance with the $1230 FMR for subsidies.
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.