Location: Charlotte-Concord-Gastonia, NC | Metro: Charlotte-Concord-Gastonia, NC-SC 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 | $1,610 |
| 1 Bedroom | $1,680 |
| 2 Bedrooms | $1,830 |
| 3 Bedrooms | $2,230 |
| 4 Bedrooms | $2,840 |
| 5 Bedrooms | $3,294 |
| 6 Bedrooms | $3,689 |
| 7 Bedrooms | $3,984 |
| 8 Bedrooms | $4,183 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,680 | $156,404 | 1.07% | B |
| 2BR | $1,830 | $253,190 | 0.72% | D |
| 3BR | $2,230 | $509,063 | 0.44% | F |
| 4BR | $2,840 | $877,670 | 0.32% | F |
| 5BR | $3,294 | $1,443,280 | 0.23% | F |
U.S. Census Bureau data (2024)
The classification of ZIP code 28226 in Charlotte, NC, on the axes of yield and stability reveals a balanced investment opportunity.
Yield: The Fair Market Rent (FMR) for ZIP 28226 in fiscal year 2024 is set at $1,660, which is slightly above the current market rent of $1,603. Given the median home value of $675,643, this indicates a moderate yield potential. The FMR figure suggests that rental properties can command slightly higher rents compared to the current market, providing a decent return on investment.
Stability: With 32.4% of residents being renters, there is a stable demand for rental properties. However, the lack of data on the average number of days on market (DOM) makes it challenging to assess the speed at which rental units are filled. The median household income of $118,606 is relatively strong, indicating that tenants have the financial capacity to meet their rent obligations. This robust income level supports the stability of the rental market.
The analysis points towards a steady-cashflow zone rather than a high-yield/low-stability market. The slight premium in FMR over the current market rent and the solid median income suggest that while yields are not exceptionally high, they are reliable and sustainable. Landlords and small-portfolio investors can expect consistent cash flow without the volatility associated with a purely speculative market.
To summarize, ZIP 28226 offers a good balance between yield and stability, making it an attractive option for those seeking dependable rental income. The figures—$1,660 FMR, $1,603 market rent, and $118,606 median income—support this assessment.
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.