Section 8 Fair Market Rent (FMR) for ZIP 28262 - 2027

Investment Score for ZIP 28262

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	$1,820
1 Bedroom	$1,890
2 Bedrooms	$2,060
3 Bedrooms	$2,520
4 Bedrooms	$3,200
5 Bedrooms	$3,712
6 Bedrooms	$4,157
7 Bedrooms	$4,490
8 Bedrooms	$4,715

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
2BR	$2,060	$251,075	0.82%	C
3BR	$2,520	$323,013	0.78%	D
4BR	$3,200	$386,389	0.83%	C
5BR	$3,712	$466,528	0.8%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 28262 (Charlotte, NC) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for Charlotte, NC, in ZIP code 28262, as of 2026, is set at $1990 for a two-bedroom apartment. This figure represents 34.5% of the median household income in the area, which stands at $69,231. However, the actual rental market dynamics show that the average rent for a two-bedroom unit is significantly higher than the FMR. According to Zillow, the median price for a two-bedroom home in this ZIP code is $249,475, which translates into a monthly rent of approximately $2080 based on typical rental yield assumptions. The price-to-FMR ratio is 10.4x, indicating that the actual rents are substantially higher than the FMR. This disparity creates significant constraints for voucher holders. For instance, a voucher holder would find it challenging to secure a two-bedroom apartment at the Zillow median price since the voucher amount is only $1990. They would likely have to seek out lower-cost units or face difficulties in finding suitable housing. Additionally, landlords may be hesitant to accept vouchers due to the higher administrative burden and the fact that the voucher amount is below market rates. #### Affordability & Renter Profile ZIP code 28262 has a high renter population, with 71.7% of residents being renters. This suggests a robust demand for rental properties in the area. The occupancy rate is also quite high at 90.1%, indicating that there is little vacancy and the market is relatively tight. Given that the median household income is $69,231, and the FMR for a two-bedroom apartment is $1990, representing 34.5% of the median income, the affordability of housing is a concern for many residents. The high renter percentage and occupancy rate suggest that there is a strong need for affordable housing options. However, the current rental market is not aligned with the FMR, making it difficult for low-income households to find suitable accommodation. This mismatch between the FMR and actual rents can lead to increased competition among renters and potentially higher turnover rates for landlords who accept vouchers. #### Investor Angle From an investor perspective, the ZIP code 28262 presents a mixed picture. The FMR for a two-bedroom apartment is $1990, but the actual market rent is closer to $2080. While this means that investors could potentially achieve positive cash flow by renting at the Zillow median price, they must consider the challenges associated with accepting Section 8 vouchers. Given the high renter percentage and occupancy rate, there is a strong likelihood that investors could find tenants willing to pay market rates. However, the price-to-FMR ratio of 10.4x indicates that the market is overpriced relative to the FMR, which could deter voucher holders. This makes the investment grade somewhat risky, as it depends heavily on the ability to attract non-voucher tenants willing to pay market rates. #### Specific Actionable Insights 1. **Target Non-Voucher Tenants**: Given the high price-to-FMR ratio, investors should focus on attracting non-voucher tenants who are willing to pay market rates. This strategy would help ensure positive cash flow and reduce the administrative burden associated with voucher programs. 2. **Consider Lower-Cost Units**: If investors decide to target voucher holders, they should consider investing in lower-cost units such as one-bedroom apartments, where the FMR is $1820. This would make it easier to comply with voucher requirements and still achieve reasonable returns. 3. **Explore Subsidies and Incentives**: Investors should look into government subsidies and incentives designed to encourage the development of affordable housing. These programs can help offset some of the financial risks associated with renting at or near the FMR. #### Bottom Line For Section 8-focused investors, the recommendation is to **skip** this ZIP code. The high price-to-FMR ratio and the tight rental market indicate that it will be challenging to find enough voucher holders willing to pay the FMR. Additionally, the administrative burden and potential lower returns make this area less attractive for those specifically targeting Section 8 vouchers. Instead, investors might want to explore other areas with a more favorable price-to-FMR ratio and a larger pool of voucher holders.

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.