Location: Newberry County, SC | Metro: Columbia, SC HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $930 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,470 |
| 4 Bedrooms | $1,720 |
| 5 Bedrooms | $1,995 |
| 6 Bedrooms | $2,234 |
| 7 Bedrooms | $2,413 |
| 8 Bedrooms | $2,534 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,470 | $372,797 | 0.39% | F |
| 4BR | $1,720 | $518,271 | 0.33% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 29075 are defined by the SAFMR (Small Area Fair Market Rent) set specifically for this ZIP code. For a two-bedroom apartment, the SAFMR for FY 2024 is $1060. This figure represents the maximum amount that a Section 8 voucher will cover for rent in this area.
In contrast, the local market rent for a two-bedroom unit in ZIP 29075 is lower at $865, according to Census ACS data. This discrepancy between the SAFMR and the actual market rent can be advantageous for landlords who participate in the program.
A Section 8 voucher works by covering the difference between the tenant's portion of the rent and the total rent. The tenant's portion is typically 30% of their income, but it cannot exceed the maximum rent subsidy. If a tenant's portion is less than the market rent, the voucher will make up the difference, but not exceed the SAFMR of $1060.
Utility allowances also play a role in the economics. These allowances are designed to help cover the cost of utilities such as electricity, gas, water, and sewer. However, they do not increase the overall SAFMR; they are additional payments made directly to the landlord.
To illustrate, if a tenant's portion of the rent is $700 and the market rent is $865, the voucher would cover the remaining $165 to bring the total payment to $865. In this scenario, there would be no reimbursement gap since the total rent is below the SAFMR. However, if the market rent were higher, say $1100, then the voucher would only cover up to $1060, leaving a reimbursement gap of $40.
In ZIP 29075, given the SAFMR of $1060 and the market rent of $865, landlords would typically see a surplus rather than a gap. This means that the voucher reimbursement plus the tenant's contribution would exceed the market rent, providing a buffer for landlords. Specifically, if the tenant's portion is $700, the total reimbursement would be $1060, resulting in a surplus of $195 over the market rent.
Landlords should be aware that participating in Section 8 comes with certain responsibilities and regulations. However, the economic benefits, especially in areas where the SAFMR exceeds the local market rent, can be significant. In ZIP 29075, landlords can expect a consistent rental income that is slightly above the market average, without the risk of vacancy or non-payment.
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.