Section 8 Fair Market Rent (FMR) for ZIP 28523 - 2027

Location: Craven County, NC | Metro: Craven County, NC

Investment Score for ZIP 28523

N/A

Monthly Rent (2BR)

$1,080

Median Price (2BR)

$N/A

1% Rule

Annual Yield

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	$810
1 Bedroom	$820
2 Bedrooms	$1,080
3 Bedrooms	$1,440
4 Bedrooms	$1,800
5 Bedrooms	$2,088
6 Bedrooms	$2,339
7 Bedrooms	$2,526
8 Bedrooms	$2,652

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
3BR	$1,440	$198,250	0.73%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

2,753

Median Household Income

$45,452

Housing Units

1,154

Renter Percentage

33.8%

Occupancy Rate

96.7%

Renter Occupied

377

The Section 8 cap-rate picture for ZIP code 28523, Cove City, NC, can be analyzed using the Fair Market Rent (FMR) and market rent figures provided. For a two-bedroom unit, the annualized FMR for FY 2024 is $990 per month, while the market rent based on Census ACS data is $850 per month. The median home value in the area is $196,417.

First, let's calculate the gross yield for both scenarios:

FMR Scenario: With an annual rent of $990 multiplied by 12 months, we get an annual rental income of $11,880. Dividing this by the median home value ($196,417) gives us a gross yield of approximately 6.05%.
Market Rent Scenario: At $850 per month, the annual rental income would be $10,200. This amount divided by the median home value yields approximately 5.20%.

Given that the renter density in Cove City, NC, is 33.8%, it's important to note that a significant portion of the housing stock is occupied by homeowners rather than renters. This fact suggests that the demand for rental properties might be lower compared to areas with higher renter density, making the market rent scenario more realistic. However, the N/A-day DOM (Days on Market) indicates incomplete data on how quickly rental units are typically leased, which could affect the reliability of this analysis.

In conclusion, the gross yield under the FMR scenario is 6.05%, whereas under the market rent scenario, it is 5.20%. While the FMR scenario provides a higher potential gross yield, the lower renter density makes the market rent scenario a more likely outcome for most investors in this ZIP code.

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.