Location: Asheville, NC | Metro: Asheville, NC MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,700 |
| 1 Bedroom | $1,970 |
| 2 Bedrooms | $2,140 |
| 3 Bedrooms | $2,550 |
| 4 Bedrooms | $3,570 |
| 5 Bedrooms | $4,141 |
| 6 Bedrooms | $4,638 |
| 7 Bedrooms | $5,009 |
| 8 Bedrooms | $5,259 |
U.S. Census Bureau data (2024)
The ZIP code 28804, located in Asheville, North Carolina, and part of the Asheville, NC Metropolitan Statistical Area (MSA), presents an intriguing opportunity for inclusion in a Section 8 real-estate portfolio strategy. This area serves best as a cash-flow anchor. The Federal Market Rent (FMR) for FY 2024 is set at $2070, which is notably higher than the market rent of $1792. This creates a positive spread that can be leveraged to ensure steady and reliable cash flow.
The median home value in ZIP 28804 is $595,882, indicating a relatively high-value neighborhood. Despite this, the significant difference between FMR and market rent suggests that landlords can secure tenants through the Section 8 program while maintaining a rental rate above the local average. This means that even though the upfront investment might be higher due to the median home value, the long-term financial stability offered by Section 8 contracts can offset the initial cost.
Additionally, the ZIP code has a price-cut share of 0.2%, suggesting that very few properties are being discounted, which indicates strong demand. The N/A-day DOM (Days on Market) implies that homes in this area sell quickly once listed, further reinforcing the idea that it's a desirable location with consistent interest.
While the renter share stands at 28.9% and the median income is $88,312, these factors do not significantly influence the decision to classify 28804 as a cash-flow anchor. The primary focus should remain on the substantial positive spread between the FMR and market rent, which ensures that landlords can rely on a predictable and favorable rental income stream.
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.