Section 8 Fair Market Rent (FMR) for ZIP 29708 - 2027

Investment Score for ZIP 29708

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	$1,710
1 Bedroom	$1,780
2 Bedrooms	$1,940
3 Bedrooms	$2,370
4 Bedrooms	$3,010
5 Bedrooms	$3,492
6 Bedrooms	$3,911
7 Bedrooms	$4,224
8 Bedrooms	$4,435

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	$1,940	$337,379	0.58%	F
3BR	$2,370	$433,001	0.55%	F
4BR	$3,010	$649,294	0.46%	F
5BR	$3,492	$793,684	0.44%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 29708 (Fort Mill, NC) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 29708 in Fort Mill, North Carolina, is set by HUD for the year 2026. For a two-bedroom unit, the FMR is $1870 per month. This represents 17.0% of the median household income in the area, which is $132,018. The FMRs for other bedroom sizes are as follows: - 0BR: $1630 - 1BR: $1710 - 3BR: $2300 - 4BR: $2920 These figures indicate that the FMRs are relatively low compared to the median household income, suggesting that the cost of housing is affordable for those who qualify for Section 8 vouchers. However, it’s important to note that the actual rent in the market can be significantly higher than these FMRs. For instance, the Zillow median price for a two-bedroom home in this ZIP code is $338,838, which translates to a monthly mortgage payment of approximately $1,580 based on a 30-year fixed-rate mortgage at 4%. When factoring in property taxes, insurance, and maintenance costs, the total monthly cost could easily exceed the FMR of $1870. This creates a significant constraint for voucher holders, as landlords might be hesitant to accept vouchers due to the lower rent payments compared to what they could potentially receive from non-voucher tenants. Additionally, the high occupancy rate of 97.4% suggests that there is limited vacancy for voucher holders to find suitable housing. #### Affordability & Renter Profile Fort Mill has a population of 43,515, with 24.3% of residents being renters. Given the median household income of $132,018, the rental market appears to cater primarily to middle- to upper-income households. The high median income indicates that most residents can afford to pay above the FMR for housing. The Zillow median price for a two-bedroom home ($338,838) and the price-to-FMR ratio (15.1x) suggest that the market is quite tight. The high price-to-FMR ratio means that the actual market rent is much higher than the FMR, making it challenging for voucher holders to find affordable housing. The tight market also implies that there is little oversupply, and landlords have the leverage to charge higher rents. #### Investor Angle From an investor perspective, the ZIP code 29708 is likely to be cash-flow negative if relying solely on FMRs. The Zillow median price for a two-bedroom home is $338,838, and the price-to-FMR ratio of 15.1x indicates that the actual market rent is far above the FMR. To determine the cash flow, we need to consider the total monthly costs for an investor, including mortgage payments, property taxes, insurance, and maintenance. Assuming a 30-year fixed-rate mortgage at 4%, the monthly mortgage payment for a $338,838 property would be around $1,580. Adding property taxes (estimated at 1.2% of the property value), insurance (around $100 per month), and maintenance costs (typically 1% of the property value), the total monthly expenses could be: - Mortgage Payment: $1,580 - Property Taxes: $338,838 * 1.2% / 12 = $340 - Insurance: $100 - Maintenance: $338,838 * 1% / 12 = $282 Total Monthly Expenses: $1,580 + $340 + $100 + $282 = $2,302 Given that the FMR for a two-bedroom unit is $1870, an investor would be operating at a loss if they were to only charge the FMR. This makes it difficult for investors to rely solely on Section 8 vouchers to generate positive cash flow. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Investors should consider focusing on smaller units such as one-bedroom or studio apartments. These units have lower FMRs ($1710 and $1630 respectively) and may be easier to rent out to voucher holders. Additionally, smaller units often have lower overall costs, which can help mitigate the financial impact of accepting Section 8 vouchers. 2. **Seek Additional Revenue Streams**: To improve cash flow, investors might want to explore additional revenue streams such as offering amenities like laundry facilities, parking, or storage units. These amenities can attract higher-paying tenants and provide supplementary income. 3. **Consider Non-Voucher Tenants**: Given the high median income and the tight rental market, investors should consider targeting non-voucher tenants who can pay the actual market rent. This would ensure better cash flow and reduce the risk associated with relying solely on Section 8 vouchers. #### Bottom Line Based on the analysis, the recommendation for Section 8-focused investors in ZIP code 29708 is to **Skip** this market. The high price-to-FMR ratio and the tight rental market make it challenging to achieve positive cash flow when relying solely on Section 8 vouchers. Investors looking to focus on Section 8 properties would be better served exploring areas with lower FMR ratios and more affordable housing options.

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.