Location: Hickory-Lenoir-Morganton, NC | Metro: Hickory-Lenoir-Morganton, NC MSA
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 | $1,270 |
| 1 Bedroom | $1,280 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $1,850 |
| 4 Bedrooms | $2,260 |
| 5 Bedrooms | $2,622 |
| 6 Bedrooms | $2,937 |
| 7 Bedrooms | $3,172 |
| 8 Bedrooms | $3,331 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,520 | $240,678 | 0.63% | D |
| 3BR | $1,850 | $331,679 | 0.56% | F |
| 4BR | $2,260 | $431,808 | 0.52% | F |
U.S. Census Bureau data (2024)
15.4% of Catawba, NC's residents are renters, indicating a modest demand for rental properties. However, the $1170 Fair Market Rent (FMR) for zip code 28609 in fiscal year 2024 suggests that landlords can expect to receive a competitive subsidy for Section 8 tenants. The Census ACS reports a market rent of $1,238, which is slightly higher than the FMR, showing that the subsidized rate is close to the actual rental market price. This proximity between the FMR and market rent means that landlords participating in the Section 8 program will not face significant financial shortfalls.
The median home value in Catawba, NC stands at $313,909, reflecting a stable housing market. Despite this, the median income of $77,679 indicates that many residents may still struggle to afford market-rate rents, making the Section 8 program an attractive option for both tenants and landlords. The low 0.2% price-cut share further supports the notion that property values are holding steady, and landlords are unlikely to need to reduce their asking prices to attract tenants.
While the days on market (DOM) figure is not available, the combination of a reasonable renter share and a fair market rent that closely mirrors the market rate provides a solid foundation for investment in the area. The lack of fluctuation in property prices and the presence of a stable income level among residents suggest that the demand for affordable housing will remain consistent.
In conclusion, with a fair market rent of $1170 and a market rent of $1,238, along with a median home value of $313,909 and a median income of $77,679, Catawba, NC offers a balanced opportunity for landlords interested in the Section 8 program. The low price-cut share of 0.2% further underlines the stability of the local real estate market. Verdict: Catawba, NC is a viable market for Section 8 investments.
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.