Location: Macon County, NC | Metro: Cherokee County, NC
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,340 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
U.S. Census Bureau data (2024)
The analysis for ZIP code 28901, located in Andrews, North Carolina, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area for fiscal year 2026 is set at $930, while the Census ACS data indicates that the current market rent stands at $719. This creates a disparity of $211 per month, or approximately 22.7%, where landlords can receive higher rents through the Section 8 program compared to the open-market rate.
This scenario makes ZIP 28901 a prime location for a yield play for landlords and small-portfolio investors. With an FMR exceeding the market rent, voucher holders can pay the difference, ensuring that landlords receive a more substantial rental income than what they might earn from non-voucher tenants. This is particularly advantageous given the local economic conditions: Andrews has a median home value of $220,952 and a median household income of $44,792. These figures suggest that the local economy supports a relatively stable housing market, but with a notable percentage of renters—18.9%—the demand for affordable housing remains strong.
The higher FMR also means that landlords can potentially mitigate some risks associated with lower-income tenants, as the voucher system guarantees a portion of the rent. However, it's important to note that accepting Section 8 tenants comes with its own set of responsibilities and compliance requirements. Despite these considerations, the financial benefits of receiving $930 in rent versus the $719 average market rate make this an attractive opportunity for those willing to navigate the administrative aspects of the program.
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.