Location: Brunswick County, NC | Metro: Brunswick 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 | $1,330 |
| 1 Bedroom | $1,390 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $1,980 |
| 4 Bedrooms | $2,310 |
| 5 Bedrooms | $2,680 |
| 6 Bedrooms | $3,002 |
| 7 Bedrooms | $3,242 |
| 8 Bedrooms | $3,404 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,510 | $399,744 | 0.38% | F |
| 3BR | $1,980 | $574,650 | 0.34% | F |
| 4BR | $2,310 | $908,441 | 0.25% | F |
| 5BR | $2,680 | $1,385,473 | 0.19% | F |
U.S. Census Bureau data (2024)
The HUD Fair Market Rent (FMR) for ZIP code 28465, which encompasses Oak Island, NC, in the Brunswick County HUD Metro FMR Area, is set at $1230 for fiscal year 2024. This figure represents the maximum amount that a landlord can charge for a unit to be considered affordable under the Section 8 housing choice voucher program. In contrast, the market rent as indicated by the Zillow Observed Rental Index (ZORI) stands at $1,983 per month. This significant gap between the HUD FMR and the actual market rent suggests that voucher tenants would only cashflow in this area with premium units, where the rent is closer to the HUD FMR. For standard units priced at the ZORI, landlords would likely experience negative cashflow unless they have units that qualify for higher rents due to their condition or location.
To further analyze the investment potential, consider the median home value in the area, which is $595,902. Using this figure, we can derive a rent-to-price ratio of approximately 0.21%, calculated by dividing the monthly ZORI ($1,983) by the median home value ($595,902) and multiplying by 12 months. This low ratio indicates that rental income alone may not fully justify the purchase price of homes in this area, suggesting that appreciation or stability might be stronger investor angles than cashflow.
The real estate market in ZIP 28465 also shows a median Days on Market (DOM) of 69 days, indicating a relatively quick turnover rate for listings. Additionally, the price-cut share of 0.2% suggests that sellers are rarely forced to lower their asking prices to attract buyers, pointing to a strong seller's market. These factors contribute to the stability and potentially the appreciation of property values in the area.
Given the data, the strongest investor angle in ZIP 28465 is likely appreciation, as the high median home value and low price-cut share suggest a robust local economy and a growing demand for housing that could lead to rising property values over time.
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.