Section 8 Fair Market Rent (FMR) for ZIP 28754 - 2027

Location: Yancey County, NC | Metro: Asheville, NC MSA

Investment Score for ZIP 28754

F
Monthly Rent (2BR)
$1,660
Median Price (2BR)
$368,194
1% Rule
0.45%
Annual Yield
5.41%

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$1,300
1 Bedroom$1,510
2 Bedrooms$1,660
3 Bedrooms$2,010
4 Bedrooms$2,780
5 Bedrooms$3,225
6 Bedrooms$3,612
7 Bedrooms$3,901
8 Bedrooms$4,096

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
2BR $1,660 $368,194 0.45% F
3BR $2,010 $462,253 0.43% F
4BR $2,780 $601,489 0.46% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
9,682
Median Household Income
$68,750
Housing Units
4,562
Renter Percentage
23.9%
Occupancy Rate
72.5%
Renter Occupied
789

The ZIP code 28754, located in Mars Hill, North Carolina, represents a modest-sized community with a population of 9,682. Within this demographic, 23.9% of residents are renters, indicating a smaller but still significant rental market. The median household income stands at $68,750, which provides a benchmark for assessing the affordability of housing.

The market rent for the area is $863 per month, a figure that consumes approximately 12.6% of the median household income when calculated annually. This percentage suggests that while rent is a notable expense, it remains manageable for the average resident. However, the Federal Market Rent (FMR) for FY 2024 is set at $1320, significantly higher than the market rent. This discrepancy indicates that tenants relying on Section 8 vouchers might find the local market more affordable compared to the federally established standard.

To further understand the dynamics of the rental market in ZIP 28754, it's essential to consider the depth of voucher demand. Given the rental rate of $863, many voucher holders could potentially afford a wider range of rental properties, making the competition for units less intense than in areas where market rents align more closely with the FMR. This scenario benefits landlords who can offer a variety of property types and sizes, catering to the needs of voucher recipients without necessarily having to reduce their rental prices to match the lower end of the spectrum.

In summary, landlords in ZIP 28754 should anticipate a tenant pool that includes a mix of low-income individuals utilizing Section 8 vouchers alongside other renters who may be paying out-of-pocket. The typical tenant will likely be seeking value in the lower rent prices compared to the FMR, making affordability a key selling point for rental properties in this area. Landlords can leverage the relatively lower market rent to attract tenants, ensuring that their properties remain competitive and desirable in a market where voucher demand is present but not overwhelming.

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.