Section 8 Fair Market Rent (FMR) for ZIP 28765 - 2027

FY 2027 Fair Market Rent Rates

The economics of Section 8 housing in ZIP code 28765, located in Mitchell County, North Carolina, can be quite straightforward when understood properly. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $930. This figure represents the maximum amount that a landlord can receive from the government through the Housing Choice Voucher program, commonly known as Section 8.

To break it down further, the total rent of $930 includes both the tenant's contribution and the government's subsidy. Typically, tenants are required to pay approximately 30% of their adjusted income towards rent. If we assume an average adjusted income for a household eligible for Section 8 is around $1,500 per month, then the tenant would contribute roughly $450 towards the rent.

The remaining balance is covered by the government. In this case, the government would pay the difference between the tenant's contribution and the SAFMR. So, if the tenant pays $450, the government would subsidize the rest, which is $480, to make up the full $930. It’s important to note that the government also provides additional funds to cover utilities, which can vary based on the specific utility allowance for the area.

In ZIP 28765, landlords should expect to receive the full SAFMR of $930, assuming the tenant's portion plus the utility allowance equals this amount. If the local market rent is higher than $930, landlords will face a shortfall and need to consider whether they can afford to accept a voucher tenant at this rate. Conversely, if the market rent is lower, landlords might find themselves receiving a surplus, though this is less likely given the SAFMR sets a benchmark for what is considered fair rent in the area.

In summary, for a two-bedroom apartment in ZIP 28765, the typical reimbursement gap is $480, which is the amount the government pays to cover the difference between the tenant's 30% contribution and the SAFMR of $930. This makes the economics of accepting a Section 8 voucher relatively clear for landlords in this area.

Data Sources: FMR data from HUD (2027).

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.