Location: Spartanburg, SC | Metro: Greenville-Mauldin-Easley, 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 | $1,050 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,210 |
| 3 Bedrooms | $1,460 |
| 4 Bedrooms | $1,750 |
| 5 Bedrooms | $2,030 |
| 6 Bedrooms | $2,274 |
| 7 Bedrooms | $2,456 |
| 8 Bedrooms | $2,579 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,100 | $202,556 | 0.54% | F |
| 2BR | $1,210 | $233,111 | 0.52% | F |
| 3BR | $1,460 | $348,859 | 0.42% | F |
| 4BR | $1,750 | $653,376 | 0.27% | F |
| 5BR | $2,030 | $923,017 | 0.22% | F |
U.S. Census Bureau data (2024)
A skeptical investor considering ZIP 29356, Landrum, SC, might have several concerns regarding the viability of investing in Section 8 properties. Here are some common objections and the corresponding data points that can help clarify these issues.
Objection 1: Will Fair Market Rent (FMR) of $950 for ZIP 29356 in fiscal year 2024 cover the mortgage on a $321,802 home?
The FMR of $950 in ZIP 29356 for fiscal year 2024 is a key figure for determining rental income from Section 8 tenants. To assess if this will cover the mortgage on a home priced at $321,802, we need to consider the typical interest rates and loan terms. Assuming a 30-year fixed-rate mortgage with an average interest rate of 4%, the monthly payment on a $321,802 home would be approximately $1,540. This amount exceeds the FMR significantly, suggesting that relying solely on FMR to cover the mortgage may not be sufficient. However, it's important to note that the cost of the home does not necessarily reflect its rental value; homes in this area could potentially command higher rents outside of the Section 8 program.
Objection 2: Is there enough renter demand at 15.5%?
The percentage of renters in ZIP 29356 stands at 15.5%. While this figure is relatively low compared to national averages, it does not provide a complete picture of the demand for affordable housing. The actual number of households in the area and their income levels play a critical role in understanding the potential demand for Section 8 rentals. Furthermore, the percentage alone doesn't account for the dynamics of supply and demand within the local rental market. It's crucial to investigate the vacancy rates and the number of units available to gauge the true demand for rental properties, particularly those eligible for Section 8.
Objection 3: Will vouchers keep pace with market rents of $626?
The current market rent in ZIP 29356 is $626, which is notably lower than the FMR of $950. However, the question of whether voucher amounts will keep pace with rising market rents is valid. Historically, voucher amounts have struggled to keep up with inflation and increasing housing costs in many areas. For ZIP 29356, there isn't specific data indicating future adjustments to voucher amounts. Therefore, it's advisable to monitor local HUD announcements and economic trends to anticipate any changes in voucher coverage relative to market rents.
In conclusion, while the data provides insights into the challenges of investing in Section 8 properties in ZIP 29356, it also highlights opportunities. Investors should carefully evaluate the local market conditions, including the broader rental landscape beyond just the Section 8 program, to make informed decisions.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.