Section 8 Fair Market Rent (FMR) for ZIP 29650 - 2027

Investment Score for ZIP 29650

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,580
1 Bedroom	$1,640
2 Bedrooms	$1,790
3 Bedrooms	$2,140
4 Bedrooms	$2,520
5 Bedrooms	$2,923
6 Bedrooms	$3,274
7 Bedrooms	$3,536
8 Bedrooms	$3,713

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,790	$217,549	0.82%	C
3BR	$2,140	$312,014	0.69%	D
4BR	$2,520	$506,370	0.5%	F
5BR	$2,923	$671,173	0.44%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 29650 (Greer, SC) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 29650 in 2026 is set at $1600 for a two-bedroom unit. This figure represents 20.3% of the median household income in the area, which stands at $94,522. However, the actual rental market dynamics paint a different picture. According to the Zillow median price for a two-bedroom unit, the average home value is $218,556. The price-to-FMR ratio is 11.4x, indicating that the cost of owning a property is significantly higher than renting it. For voucher holders, this means that while the FMR provides a guideline for affordable rent, the actual rents in the market could be much higher due to the strong demand for housing. Therefore, voucher holders face significant constraints, as landlords may be hesitant to accept vouchers that do not cover the full market rent. This creates a challenging environment for low-income renters who rely on Section 8 vouchers to find suitable housing. #### Affordability & Renter Profile ZIP code 29650 has a population of 42,493, with 22.9% of residents being renters. Given the occupancy rate of 94.8%, it is clear that the rental market is quite tight, with very little vacancy. This high occupancy rate suggests that there is a strong demand for rental properties, which can drive up rental prices and make it difficult for lower-income individuals to find affordable housing. The median household income of $94,522 indicates that the area is relatively affluent, but the 22.9% renter population includes a mix of income levels. With the FMR for a two-bedroom unit at $1600, only about 20.3% of the median income, it is likely that many renters are middle-class individuals who choose to rent rather than buy due to various factors such as job mobility or lifestyle preferences. However, the high price-to-FMR ratio of 11.4x implies that the market is not particularly affordable for those relying solely on the FMR to find housing. #### Investor Angle From an investor perspective, the ZIP code 29650 presents both opportunities and challenges. The FMR for a two-bedroom unit is $1600, which is the maximum amount that a Section 8 voucher holder can pay. However, given the high price-to-FMR ratio, it is unlikely that landlords will be able to achieve a positive cash flow by strictly adhering to the FMR. In fact, the average market rent is likely to be significantly higher than the FMR, making it difficult to attract tenants who are solely dependent on Section 8 vouchers. To determine the investment grade, we need to consider the overall market conditions and the potential for rental income. Given the tight market and high occupancy rates, there is a strong demand for rental units. However, the high price-to-FMR ratio suggests that the returns for investors who are willing to accept Section 8 vouchers may be limited. Investors should carefully evaluate the potential for higher rents and the likelihood of finding tenants who can afford them. #### Specific Actionable Insights 1. **Focus on Larger Units**: While the FMR for a two-bedroom unit is $1600, the FMR for larger units like three-bedroom ($1930) and four-bedroom ($2320) units is higher. Investors might consider developing or purchasing larger units to cater to families who are more likely to have higher incomes and can afford the higher rents. This strategy could help mitigate the risk of negative cash flow associated with smaller units. 2. **Consider Mixed-Income Developments**: Given the high median household income and the relatively small percentage of renters, mixed-income developments could be a viable option. These developments combine market-rate units with affordable units, allowing investors to balance the risks and rewards of accepting Section 8 vouchers with the potential for higher rents from other tenants. 3. **Evaluate Non-Residential Investments**: The high price-to-FMR ratio suggests that residential investments may not be as lucrative as they could be in other areas. Investors might consider diversifying their portfolio by looking into non-residential investments such as commercial properties or multifamily developments that cater to a broader range of tenants. #### Bottom Line Given the high price-to-FMR ratio and the tight rental market, the recommendation for Section 8-focused investors in ZIP code 29650 would be to **skip** this market. The limited potential for positive cash flow and the challenges in attracting voucher holders make it less attractive compared to other areas where the FMR is closer to the market rent. Investors should look for markets with a better alignment between FMR and actual rents, or consider alternative investment strategies that can provide a more balanced return.

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.