Location: Williamsburg County, SC | Metro: Florence, 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 | $860 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,300 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,090 | $110,520 | 0.99% | C |
| 3BR | $1,300 | $156,846 | 0.83% | C |
| 4BR | $1,750 | $233,207 | 0.75% | D |
U.S. Census Bureau data (2024)
ZIP code 29554 is located in a suburban neighborhood of South Carolina. With a total population of 8,681, it is a modest-sized community where nearly one-quarter of residents—24.7%—are renters. The median household income here stands at $55,100, indicating a middle-class area. The median home value is relatively low at $130,662, suggesting that homeownership is accessible to many local residents.
Moving into the realm of rental economics, the Fair Market Rent (FMR) for ZIP 29554, as determined by HUD for fiscal year 2024, is set at $1,100. This figure contrasts with the actual market rent, which according to the Census Bureau's American Community Survey (ACS), averages around $871. This discrepancy presents an opportunity for investors who can leverage the higher FMR rates offered through the Section 8 Housing Choice Voucher program to generate more substantial returns on their investment properties.
The question then arises: Is this a suitable location for a hands-off voucher operator or a hands-on value-add buyer? Given the lower median home values and the disparity between FMR and market rents, the area is well-suited for both types of investors. Hands-off operators can benefit from the guaranteed income provided by the Section 8 vouchers, while hands-on buyers have the potential to improve property values and rents over time, capitalizing on the difference between market rates and the higher voucher payments. Both strategies can be effective, depending on the investor’s goals and risk tolerance.
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.