Section 8 Fair Market Rent (FMR) for ZIP 28120 - 2027

Location: Charlotte-Concord-Gastonia, NC | Metro: Charlotte-Concord-Gastonia, NC-SC HUD Metro FMR Area

Investment Score for ZIP 28120

D
Monthly Rent (2BR)
$1,460
Median Price (2BR)
$235,192
1% Rule
0.62%
Annual Yield
7.45%

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$1,290
1 Bedroom$1,340
2 Bedrooms$1,460
3 Bedrooms$1,780
4 Bedrooms$2,270
5 Bedrooms$2,633
6 Bedrooms$2,949
7 Bedrooms$3,185
8 Bedrooms$3,344

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,460 $235,192 0.62% D
3BR $1,780 $352,325 0.51% F
4BR $2,270 $448,715 0.51% F
5BR $2,633 $535,860 0.49% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
25,805
Median Household Income
$78,231
Housing Units
10,863
Renter Percentage
25.3%
Occupancy Rate
94.3%
Renter Occupied
2,595

The ZIP code 28120, located in Mount Holly, NC, within Gaston County, stands out due to its unique demographic and economic characteristics. With a total population of 25,805 residents, 25.3% of whom are renters, the area reflects a balance between homeownership and rental housing. The median income here is $78,231, which is slightly above the national average, indicating a moderately affluent community. However, the median home value of $366,782 is notably higher, suggesting that while incomes are good, they may not be sufficient for all residents to afford homeownership.

When it comes to the voucher economics, the Federal Market Rent (FMR) for ZIP 28120 in fiscal year 2024 is set at $1,190. This is significantly lower than the market rate, as measured by the Zillow Observed Rent Index (ZORI), which is $1,870. This disparity highlights a potential challenge for landlords who rely solely on Section 8 vouchers to cover their rental costs. Despite the gap, landlords can still attract tenants who benefit from the voucher program, although they may need to adjust their expectations regarding rental income.

The data signature for ZIP 28120 reads as stable. The relatively high median income suggests financial stability among residents, while the substantial median home value indicates a robust real estate market. The rental percentage, though lower than some urban areas, still represents a significant portion of the population, making it a viable option for landlords and small-portfolio investors looking to enter the market. The consistent trend in these figures over time implies a predictable environment, favorable for long-term investment planning.

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.