Location: Hickory-Lenoir-Morganton, NC | Metro: Iredell County, NC HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,060 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,210 |
| 3 Bedrooms | $1,630 |
| 4 Bedrooms | $2,030 |
| 5 Bedrooms | $2,355 |
| 6 Bedrooms | $2,638 |
| 7 Bedrooms | $2,849 |
| 8 Bedrooms | $2,991 |
U.S. Census Bureau data (2024)
The potential pitfalls of investing in ZIP 28678 in Stony Point, NC, under the Section 8 program are significant. First, consider the tenant turnover rate, which is likely to be higher due to the disparity between the market rent of $913 and the Fair Market Rent (FMR) of $1040 for fiscal year 2024. This gap suggests that tenants might struggle to afford the higher rent, leading to increased turnover and instability. Second, the vacancy exposure is a critical concern since the days on market (DOM) data is not available, indicating uncertainty in how long it will take to fill vacancies. Lastly, the deferred maintenance risk is substantial, given the typical home value of $271,674 and the median household income of $74,845. These figures imply that homeowners might delay necessary repairs due to financial constraints, potentially affecting property quality and desirability.
However, these risks must be weighed against the high renter share of 9.5%, which typically correlates with higher demand for rental properties, including those that accept Section 8 vouchers. The concentration of renters in the area can provide a steady stream of potential tenants, reducing the likelihood of extended vacancy periods and increasing the chances of finding stable, long-term residents who can benefit from the subsidized housing.
Verdict: Moderate risk for a first-time Section 8 landlord.
Data Sources: FMR data from HUD (2027). 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.