Location: Scotland County, NC | Metro: Hoke County, NC 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 | $810 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,290 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,010 | $57,242 | 1.76% | A+ |
| 3BR | $1,290 | $118,961 | 1.08% | B |
| 4BR | $1,510 | $169,956 | 0.89% | C |
U.S. Census Bureau data (2024)
The ZIP code 28364, located in Maxton, NC, presents an interesting balance between yield and stability for real estate investments. With a Fair Market Rent (FMR) of $860 for fiscal year 2024, it significantly outpaces the market rent of $673, indicating a higher potential rental income per unit. This makes it a favorable area for maximizing returns on investment properties.
However, the median home value of $108,867 suggests that property acquisition costs are relatively low, which can enhance the overall yield when combined with the higher-than-market FMR. For instance, if we assume a typical mortgage rate and calculate the monthly mortgage payment, the FMR would cover a substantial portion of these expenses, leaving room for profit even without considering other income streams such as laundry facilities or storage units.
On the stability front, the ZIP code has a notable 25.0% of residents who are renters. While this percentage is not exceptionally high, it does indicate a steady demand for rental housing. The lack of data on the number of days on the market (DOM) might suggest some volatility or unpredictability in the local real estate market, but it could also be due to limited recent sales activity. Additionally, the average household income of $34,178 is a critical factor; it implies that while there is a reliable tenant base, the overall economic conditions are modest, which could affect the ability of tenants to pay rent consistently.
Given these figures, ZIP 28364 leans towards being a steady-cashflow zone rather than a high-yield/low-stability flip-style market. The significant difference between the FMR and market rent supports a solid cash flow, especially for properties purchased at or below the median home value. However, the modest average income and the absence of data on DOM suggest a need for careful management to maintain stability and ensure consistent occupancy rates.
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.