Section 8 Fair Market Rent (FMR) for ZIP 29734 - 2027
Location: Charlotte-Concord-Gastonia, NC | Metro: Charlotte-Concord-Gastonia, NC-SC HUD Metro FMR Area
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $1,420 |
| 1 Bedroom | $1,480 |
| 2 Bedrooms | $1,610 |
| 3 Bedrooms | $1,970 |
| 4 Bedrooms | $2,500 |
| 5 Bedrooms | $2,900 |
| 6 Bedrooms | $3,248 |
| 7 Bedrooms | $3,508 |
| 8 Bedrooms | $3,683 |
To determine if a landlord should buy in ZIP code 29734 (Unknown, NC) for Section 8 investments, follow these decision points:
- Does the Fair Market Rent (FMR) of $1410 for fiscal year 2024 cover debt service on a property?
- Yes: If your debt service is less than $1410 per month, then the FMR will cover your costs, making this a viable investment.
- No: If your debt service exceeds $1410 per month, then the FMR does not cover your costs, and purchasing in this area would not be advisable for a Section 8 portfolio.
- Is the market rent above, at, or below the FMR of $1410?
- Above: If the market rent is higher than $1410, you might consider other investment opportunities that do not rely solely on Section 8 vouchers, as they could yield better returns.
- At: If the market rent equals the FMR, Section 8 properties can break even or slightly exceed rental income expectations based on the current FMR.
- Below: If the market rent is lower than $1410, Section 8 vouchers could provide a stable income source that outperforms the local market.
- Are there sufficient renters and days on the market (DOM) to ensure demand?
- It Depends: Without specific data on the percentage of renters and DOM, it's challenging to make a definitive statement. However, generally speaking, a higher percentage of renters and lower DOM indicate strong demand. Conversely, low percentages of renters and high DOM suggest weak demand.
In summary, the viability of buying in ZIP 29734 for Section 8 investments hinges on whether the FMR of $1410 meets or exceeds your debt service requirements, the relationship between market rent and the FMR, and the overall demand indicated by the number of renters and DOM. For a precise recommendation, detailed local rental market data and financial projections specific to your investment scenario are necessary.
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.