Location: Laurens County, SC | Metro: Laurens County, SC HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $780 |
| 1 Bedroom | $790 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
U.S. Census Bureau data (2024)
The Section 8 thesis for ZIP code 29351 is built upon the significant gap between the Fair Market Rent (FMR) set at $990 for fiscal year 2024 and the actual market rent reported at $625 according to the Census ACS. This gap amounts to $365 per month, or approximately 58.5%, which highlights the disparity between government-set rental standards and what is currently being offered in the open market.
In this scenario, where the FMR exceeds the market rent, landlords and small-portfolio investors can leverage the situation to achieve higher yields. By accepting Section 8 tenants, who pay their portion of the rent based on their income, landlords can secure a guaranteed payment from the Housing Authority that aligns with the higher FMR rate. This means that even if the market rent is lower, the subsidy ensures that the landlord receives a higher effective rent, thereby increasing profitability and cash flow.
However, it's important to anchor this analysis in the broader context of ZIP 29351. With 34.6% of residents being renters and a median home value of $96,921, the area reflects a mixed market where both homeownership and renting are common. The median income of $49,414 suggests that many residents may rely on assistance programs such as Section 8 to afford housing. Given these factors, the potential for increased yields through Section 8 participation is clear, but so too are the challenges of maintaining properties to meet program requirements and managing the administrative aspects of voucher tenants.
To summarize, the gap between the FMR and market rent in ZIP 29351 presents an opportunity for landlords and investors to enhance their returns by participating in the Section 8 program. Despite the higher costs associated with meeting program standards, the financial support provided by the government makes this a viable strategy for increasing property yields in a market where many residents require rental assistance.
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.