Section 8 Fair Market Rent (FMR) for ZIP 30014 - 2027

Investment Score for ZIP 30014

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	$1,200
1 Bedroom	$1,250
2 Bedrooms	$1,360
3 Bedrooms	$1,620
4 Bedrooms	$1,920
5 Bedrooms	$2,227
6 Bedrooms	$2,494
7 Bedrooms	$2,694
8 Bedrooms	$2,829

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	$1,360	$223,068	0.61%	D
3BR	$1,620	$277,114	0.58%	F
4BR	$1,920	$368,718	0.52%	F
5BR	$2,227	$419,863	0.53%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 30014 (Covington, GA) #### Section 8 Voucher Dynamics In ZIP code 30014, the Fair Market Rent (FMR) for a two-bedroom unit is set at $1,430 per month for the year 2026. This amount represents 23.7% of the median household income of $72,254. However, the actual rental market is significantly higher, with the Zillow median price for a two-bedroom home being $218,511. The price-to-FMR ratio is 12.7 times, indicating that the actual rent prices are much higher than the FMR. For instance, if we assume a typical rental yield of 1%, the monthly rent derived from the Zillow median price would be approximately $2,185, which is nearly 1.5 times the FMR. This discrepancy means that voucher holders face significant constraints in finding affordable housing. They can only afford units priced at or below the FMR, which is far less than what is typically available on the market. As a result, many voucher holders may struggle to find suitable housing options within their budget. #### Affordability & Renter Profile The population of Covington is 41,425, with 38.7% of residents being renters. This indicates a substantial demand for rental properties. The occupancy rate of 91.8% suggests that the market is relatively tight, with most available units being occupied. Given the high rent-to-income ratio and the fact that the median household income is $72,254, it is clear that the majority of renters are middle-class individuals who may find it challenging to secure housing without assistance. The tight market conditions mean that there is a strong competition for rental units, particularly those that are affordable. This makes it difficult for low-income households to find suitable housing, especially since the actual rental prices are well above the FMR. The high occupancy rate also implies that there is little room for new rentals to enter the market without affecting existing tenants. #### Investor Angle From an investor perspective, the ZIP code 30014 presents both opportunities and challenges. The FMRs provide a baseline for what the government considers affordable rent, but they do not reflect the actual market rates. An investor looking to capitalize on Section 8 vouchers would need to ensure that their rental units are priced at or below the FMR to attract these tenants. However, pricing at the FMR level may not be financially viable given the high actual market prices. For example, a two-bedroom unit priced at $1,430 per month would generate annual revenue of $17,160, which is significantly lower than the potential revenue from market-rate rentals. If we consider the Zillow median price of $218,511 and a 1% rental yield, the expected market rent would be around $2,185 per month, generating annual revenue of $26,220. This highlights the financial gap between FMR and market rates. Despite the challenges, the high occupancy rate and significant renter population suggest that there is a steady demand for rental properties. However, the investment grade for Section 8-focused properties in this area would likely be lower due to the limited ability to increase rents beyond the FMR. Investors should carefully evaluate the cost structure, including property taxes, maintenance, and insurance, to determine if they can achieve positive cash flow at the FMR levels. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors might want to focus on smaller units such as one-bedroom apartments, where the FMR is $1,300. This could provide a better chance of achieving positive cash flow while still attracting Section 8 voucher holders. For instance, a one-bedroom unit priced at $1,300 per month would generate annual revenue of $15,600, which is more aligned with the FMR constraints. 2. **Consider Property Location**: The success of Section 8-focused investments can vary based on location within the ZIP code. Areas closer to amenities, public transportation, and employment centers may have higher demand and potentially allow for slightly higher rents while still remaining within the FMR guidelines. Investors should conduct thorough location-specific analyses to identify areas with the highest potential for occupancy. 3. **Evaluate Cost Structure**: Before investing in Section 8-focused properties, it is crucial to evaluate the total cost structure. For example, a two-bedroom unit priced at $1,430 per month would generate annual revenue of $17,160. If property taxes, maintenance costs, and other expenses exceed this amount, the investment would not be cash-flow positive. Investors should aim to acquire properties with lower operating costs to maximize profitability. #### Bottom Line Given the high price-to-FMR ratio and the tight market conditions, the recommendation for Section 8-focused investors in ZIP code 30014 is to **Skip**. The financial viability of these investments is questionable due to the significant gap between FMR and market rates. While there is a substantial demand for rental properties, the constraints imposed by the FMR make it challenging to achieve positive cash flow, especially for larger units. Investors should look for areas with a more favorable price-to-FMR ratio or consider other investment strategies that align better with the local market dynamics.

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.