Section 8 Fair Market Rent (FMR) for ZIP 29528 - 2027

FY 2027 Fair Market Rent Rates

The potential risks for a Section 8 investment in ZIP 29528 in Unknown, SC, are significant. First, tenant turnover could be problematic due to the discrepancy between the market rent and the Fair Market Rent (FMR) set at $1360 for FY 2024. If the local market rent is higher than the FMR, landlords might face frequent turnover as tenants seek to maximize their voucher benefits.

Vacancy exposure is another concern. With an unknown number of days on the market (DOM), it's difficult to predict how long properties might remain vacant. High vacancy rates can lead to financial strain, especially if the property sits empty for extended periods. Landlords must be prepared for these scenarios and have a solid plan to mitigate vacancy risks.

Deferred maintenance is also a risk factor, particularly when considering the unknown typical home values and median incomes in the area. Properties with lower values and incomes may require more attention and investment to maintain quality standards expected by Section 8 tenants and administrators. This can increase the overall cost of ownership and reduce profitability.

However, these risks are offset by the high concentration of renters in the area, indicated by the unknown percentage of the renter share. High renter density often translates into strong demand for housing vouchers, which can help fill vacancies quickly and sustainably. Despite the lack of specific data points, the presence of many renters suggests that there will likely be a steady pool of Section 8 tenants looking for housing.

Moderate risk for a first-time Section 8 landlord.

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.