Section 8 Fair Market Rent (FMR) for ZIP 28816 - 2027

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,550
1 Bedroom	$1,790
2 Bedrooms	$1,950
3 Bedrooms	$2,320
4 Bedrooms	$3,250
5 Bedrooms	$3,770
6 Bedrooms	$4,222
7 Bedrooms	$4,560
8 Bedrooms	$4,788

Based on the latest available data, the median home value in ZIP code 28816, which is part of the Asheville, NC MSA, stands at $473,596. This figure provides a baseline for understanding the local real estate market, though specific details about the median days on market (DOM) and the percentage of price cuts are not available at this time.

The HUD Fair Market Rent (FMR) for ZIP 28816 is set at $1750 for the fiscal year 2024. This amount represents the maximum rent subsidy that voucher holders can receive for renting a unit in this area. To determine whether voucher tenants cashflow at FMR, marginally, or only with premium units, we need to compare this figure with the actual market rents.

According to Realtor.com, the average rent for a two-bedroom apartment in ZIP 28816 is approximately $1,200 per month. Given that the HUD FMR is $1750, voucher tenants would typically generate positive cash flow for landlords. The difference between the FMR and the market rent suggests that landlords could potentially charge slightly above the average market rent while still remaining within the FMR guidelines, thus maximizing their income.

To further analyze the rent-to-price ratio, we can use the median home value of $473,596. If we assume an average monthly rent of $1,200, the annual rent would be $14,400. This results in a rent-to-price ratio of approximately 3%, indicating that rental properties in this area may not offer significant returns relative to property values. However, the positive cash flow from voucher tenants compensates for this lower ratio.

In conclusion, the strongest investor angle in ZIP 28816 is cashflow. Voucher tenants provide a reliable source of income that exceeds the typical market rent, ensuring landlords receive steady payments without the risk associated with fluctuating market conditions. This makes the area particularly attractive for small-portfolio investors seeking stable, predictable returns.

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.