Section 8 Fair Market Rent (FMR) for ZIP 28213 - 2027

Investment Score for ZIP 28213

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	$1,450
1 Bedroom	$1,520
2 Bedrooms	$1,650
3 Bedrooms	$2,010
4 Bedrooms	$2,560
5 Bedrooms	$2,970
6 Bedrooms	$3,326
7 Bedrooms	$3,592
8 Bedrooms	$3,772

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
1BR	$1,520	$122,718	1.24%	A
2BR	$1,650	$220,950	0.75%	D
3BR	$2,010	$307,014	0.65%	D
4BR	$2,560	$394,774	0.65%	D
5BR	$2,970	$463,564	0.64%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 28213 (Charlotte, NC) #### Section 8 Voucher Dynamics In ZIP code 28213, the Fair Market Rent (FMR) for a two-bedroom unit is set at $1580 per month for 2026. This amount represents 32.6% of the median household income in the area, which is $58,146. However, it is important to note that the actual rents in the market can be significantly higher. According to Zillow, the median price for a two-bedroom home in this ZIP code is $223,290, which translates to a monthly rent of approximately $1016 based on a 5% rental yield. The price-to-FMR ratio is 11.8x, indicating that the median home value is much higher than the FMR. This suggests that landlords who accept Section 8 vouchers may face constraints, as they might not be able to charge the full market rent for their properties. Consequently, voucher holders in this ZIP code may struggle to find units that match their voucher amount, particularly for larger units like three-bedroom or four-bedroom homes. #### Affordability & Renter Profile The ZIP code has a high renter population, with 55.9% of households being renters. This indicates a significant demand for rental housing. The occupancy rate stands at 89.1%, suggesting that the market is relatively tight, with most available units being occupied. Given the median household income of $58,146, many residents are likely to rely on Section 8 vouchers to afford housing. The FMR for a two-bedroom unit at $1580 is a critical benchmark for affordability, but it is still a substantial portion of the median income. This makes the ZIP code particularly dependent on affordable housing options, especially those that align with the FMR guidelines. #### Investor Angle From an investor perspective, the ZIP code presents both opportunities and challenges. The FMR for a two-bedroom unit is $1580, which is significantly lower than the median home value of $223,290. Based on a typical rental yield of 5%, the expected market rent would be around $1016, which is well below the FMR. This implies that investors could potentially achieve positive cash flow by renting out properties at the FMR, although the gap between the FMR and market rent is considerable. The investment grade for this ZIP code would depend on several factors, including the cost of acquisition, maintenance expenses, and the availability of Section 8 tenants. Given the high renter population and tight occupancy rate, there is a strong likelihood that investors could find tenants willing to use their vouchers. However, the competition from market-rate rentals could make it challenging to fill units solely with Section 8 tenants. Investors should consider the potential for mixed-income developments or units that cater to both voucher holders and market-rate tenants. #### Specific Actionable Insights 1. **Focus on Two-Bedroom Units**: Given that the FMR for a two-bedroom unit is $1580, which is only 32.6% of the median household income, investors should focus on developing or acquiring two-bedroom units. These units are most likely to be filled by Section 8 voucher holders, providing a stable source of rental income. Additionally, the Zillow median price for a two-bedroom home is $223,290, which means that the purchase price is relatively low compared to other areas in Charlotte, making it a more attractive investment opportunity. 2. **Consider Mixed-Income Developments**: Due to the high price-to-FMR ratio of 11.8x, investors should consider developing properties that can accommodate both Section 8 voucher holders and market-rate tenants. For instance, a three-bedroom unit with an FMR of $1950 could be rented out at a slightly higher rate to market-rate tenants, thereby increasing the overall profitability of the property. This strategy would help mitigate the risk of relying solely on Section 8 tenants while still providing affordable housing options. #### Bottom Line For investors focusing on Section 8 properties, ZIP code 28213 presents a mixed scenario. While the high renter population and tight occupancy rate suggest strong demand for rental housing, the significant gap between the FMR and market rents poses a challenge. The recommendation for investors would be to **Buy** if they are willing to develop or acquire properties that can cater to both Section 8 voucher holders and market-rate tenants. This approach would allow them to maximize their returns while still contributing to the local need for affordable housing. However, investors should carefully evaluate the costs associated with property acquisition and management before proceeding.

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.