Section 8 Fair Market Rent (FMR) for ZIP 30039 - 2027

Investment Score for ZIP 30039

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	$1,840
1 Bedroom	$1,920
2 Bedrooms	$2,090
3 Bedrooms	$2,490
4 Bedrooms	$2,960
5 Bedrooms	$3,434
6 Bedrooms	$3,846
7 Bedrooms	$4,154
8 Bedrooms	$4,362

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	$2,090	$256,033	0.82%	C
3BR	$2,490	$305,281	0.82%	C
4BR	$2,960	$365,417	0.81%	C
5BR	$3,434	$438,430	0.78%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 30039 (Snellville, GA) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 30039, as per the 2026 data, is set at $2120 for a two-bedroom unit. This figure represents 27.2% of the median household income in Snellville, which stands at $93,701. The FMR is designed to ensure that rent is affordable for low-income households, but it must be compared against actual rental rates to understand the dynamics of the market. In reality, landlords often charge more than the FMR due to the strong demand and limited supply of affordable housing units. For instance, the Zillow median price for a two-bedroom home in Snellville is $253,194, which translates to a price-to-FMR ratio of approximately 10.0x. This means that if we were to consider a mortgage payment based on the median price, it would far exceed the FMR, making it challenging for Section 8 voucher holders to find suitable housing. Given that the FMR is only $2120 for a two-bedroom unit, landlords who accept Section 8 vouchers might face constraints in covering their costs, especially if they have higher expenses such as property taxes, maintenance, and insurance. Therefore, voucher holders in Snellville may struggle to find properties within their budget, leading to potential difficulties in securing housing. #### Affordability & Renter Profile Snellville has a population of 52,783, with 20.6% of residents being renters. This indicates that there is a significant number of individuals and families who rely on rental housing, making up about 10,895 people. However, the occupancy rate of 97.5% suggests that the rental market is quite tight, with very few vacant units available. This high occupancy rate can drive up rental prices and make it even harder for low-income renters to find affordable housing. The median household income in Snellville is relatively high at $93,701, which means that the majority of residents can afford to purchase homes rather than rent. Consequently, the rental market is likely to cater to a smaller segment of the population, including those who are unable to secure mortgages due to credit issues, young professionals, and families with lower incomes. Given the high price-to-FMR ratio, it is clear that the market is not particularly affordable for low-income renters, who may need to rely heavily on subsidies like Section 8 vouchers. #### Investor Angle From an investor’s perspective, the key question is whether accepting Section 8 vouchers would result in positive cash flow. To determine this, we need to look at the FMR and compare it to typical rental costs in the area. According to the FMR data, the maximum allowable rent for a two-bedroom unit is $2120. However, given the high occupancy rate and limited supply, actual rental rates could be significantly higher. If we assume that the average rental rate for a two-bedroom unit is close to the Zillow median price of $253,194, then the monthly mortgage payment alone (assuming a 4% interest rate and a 30-year fixed mortgage) would be around $1210. Adding in other costs such as property taxes (estimated at $2,500 annually), insurance ($1,200 annually), and maintenance ($1,000 annually), the total annual cost would be approximately $18,810, or $1,567.50 per month. This means that the net rent collected would be $2120 - $1567.50 = $552.50 per month, assuming the property is rented out at the FMR. Given these figures, accepting Section 8 vouchers would likely result in a negative cash flow scenario unless the investor can reduce costs through efficient management or by purchasing properties below the median price. This makes the investment grade in Snellville for Section 8-focused investors relatively low, as the financial returns are not favorable when compared to the costs. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high occupancy rate and limited supply, investors should focus on developing or acquiring smaller units such as one-bedroom or studio apartments. These units typically command lower rents and may be more affordable for Section 8 voucher holders. For example, the FMR for a one-bedroom unit is $1930, which is still above the average mortgage payment, potentially allowing for a positive cash flow. 2. **Consider Mixed-Income Developments**: Instead of solely relying on Section 8 vouchers, investors could explore mixed-income developments where some units are rented at market rates and others are subsidized. This approach can help balance the financial impact and provide more stability in cash flow. For instance, a development with a mix of one-bedroom units rented at $1930 and three-bedroom units rented at market rates could achieve a better overall financial performance. 3. **Seek Out Affordable Housing Programs**: Investors should look into additional government programs and incentives that can offset the costs associated with renting to low-income tenants. These programs can include tax credits, grants, and other subsidies that can improve the financial viability of Section 8-focused investments. #### Bottom Line Based on the provided data, the recommendation for Section 8-focused investors in ZIP code 30039 (Snellville, GA) is to **Skip** this market. The high price-to-FMR ratio and the tight rental market indicate that the financial returns are unlikely to be positive, especially considering the high costs associated with property ownership. While there is a need for affordable housing, the current market conditions do not favor investors who are primarily interested in Section 8 vouchers. However, if investors are willing to diversify their portfolio with a mix of market-rate and subsidized units, they might find opportunities to enter the market with a balanced approach. But for pure Section 8 investments, the risks outweigh the benefits, and it is advisable to seek out more financially viable markets.

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.