Location: Richmond County, NC | Metro: Montgomery County, NC
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $790 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 28338 reveals several key points that are crucial for landlords and small-portfolio investors considering investment in this area.
Firstly, the rent math does not work favorably. The Fair Market Rent (FMR) for the Richmond County, NC metro area for fiscal year 2026 is set at $930. However, the actual market rent, according to Census ACS data, is significantly lower at $590. This discrepancy means that properties priced at the FMR would struggle to find tenants willing to pay that rate based on current market conditions.
Secondly, the acquisition cost in this ZIP code is relatively low, with a median home value of $150,091. This figure suggests that purchasing a property here could be more affordable compared to other areas. However, the lack of data on the average number of days on the market (DOM) and the percentage of homes requiring price cuts indicate that the market dynamics for property sales are unclear. This ambiguity could pose risks for potential investors looking to acquire properties quickly or without significant negotiation.
Lastly, there is a notable tenant demand in ZIP 28338. With a population of 3,265 and a renter share of 22.1%, approximately 722 residents are actively seeking rental housing. This demand provides a stable base for rental properties, assuming they are priced appropriately below the FMR to attract tenants.
In summary, while the acquisition cost in ZIP 28338 is favorable and there is a steady demand for rental properties, the rent math is not aligned with the current market rates. Investors should consider setting rental prices closer to the market average of $590 to ensure occupancy. Additionally, the lack of clear data on DOM and price-cut percentages necessitates thorough due diligence before making any purchase decisions.
Data Sources: FMR data from HUD (2027). 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.