Location: Pender County, NC | Metro: Pender 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 | $920 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,460 |
| 4 Bedrooms | $1,770 |
| 5 Bedrooms | $2,053 |
| 6 Bedrooms | $2,299 |
| 7 Bedrooms | $2,483 |
| 8 Bedrooms | $2,607 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,460 | $360,435 | 0.41% | F |
| 4BR | $1,770 | $448,600 | 0.39% | F |
U.S. Census Bureau data (2024)
A landlord considering purchasing a property in ZIP code 28457 for Section 8 purposes must evaluate several factors to make an informed decision. The first step involves assessing whether the Fair Market Rent (FMR) of $970 can cover the debt service on a property valued at $373,970.
If the answer is yes: The FMR of $970 is sufficient to clear the debt service on a property costing $373,970. This means that the rental income generated by a Section 8 tenant will be adequate to meet the mortgage obligations.
If the answer is no: The FMR of $970 is insufficient to cover the debt service on a property priced at $373,970. In this case, the landlord would need to consider other sources of income or lower their acquisition price to ensure profitability.
The second question is whether the market rent of $912 is above, at, or below the FMR. Here, the market rent is below the FMR, indicating that the property could potentially be rented out at a higher rate through Section 8 than what the market currently offers.
If the market rent is below FMR: This suggests that there is an opportunity for landlords to receive higher rents through the Section 8 program compared to the general market rent. It makes the property more attractive for Section 8 participation.
The third consideration is the level of demand. With 15.5% of the population being renters and the Days on Market (DOM) data being unavailable, the demand scenario is less clear.
If you conclude that there is enough demand: The 15.5% rental rate indicates a moderate demand for rental properties. While the lack of DOM data is a concern, if the landlord believes that they can attract tenants quickly, then the answer leans towards yes. There is a reasonable expectation that the property can be occupied by Section 8 tenants without significant vacancy periods.
If you conclude that there is not enough demand: Given the limited information on DOM, the 15.5% rental rate alone might not be sufficient to guarantee a steady stream of tenants. In this case, the answer is no. Landlords should seek areas with clearer indicators of high demand to minimize the risk of prolonged vacancies.
In summary, for ZIP code 28457, a landlord should proceed with caution. The FMR covers the debt service, and the market rent is below the FMR, making it a viable option for Section 8 participation. However, the demand scenario requires careful consideration. If the landlord can secure a steady flow of tenants despite the incomplete DOM data, then the investment is likely to be profitable. Otherwise, it is advisable to look elsewhere for better opportunities.
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.