Section 8 Fair Market Rent (FMR) for ZIP 30078 - 2027

Investment Score for ZIP 30078

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	$1,640
1 Bedroom	$1,710
2 Bedrooms	$1,860
3 Bedrooms	$2,220
4 Bedrooms	$2,630
5 Bedrooms	$3,051
6 Bedrooms	$3,417
7 Bedrooms	$3,690
8 Bedrooms	$3,875

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,860	$299,396	0.62%	D
3BR	$2,220	$331,994	0.67%	D
4BR	$2,630	$395,711	0.66%	D
5BR	$3,051	$616,936	0.49%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 30078 (Snellville, GA) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) figures for ZIP code 30078 in 2026 indicate that a two-bedroom unit should rent for $1,970, which is 24.1% of the median household income of $98,257. However, the actual rental market in Snellville suggests that rents can be significantly higher. For instance, the Zillow median price for a two-bedroom home is $292,468, which translates to a monthly mortgage payment of approximately $1,218 based on a 4.5% interest rate and a 30-year term. This implies that landlords who want to maximize their returns might charge more than the FMR, potentially up to $1,970 or even higher. The constraints for voucher holders are evident when comparing the FMR to actual rents. If landlords choose to rent units above the FMR, voucher holders would have difficulty finding affordable housing. The Housing Authority would only reimburse up to $1,970 for a two-bedroom unit, leaving the tenant to cover any additional costs out-of-pocket. Given the high occupancy rate of 95.2%, it is likely that landlords will leverage the strong demand to increase rents beyond the FMR. #### Affordability & Renter Profile In ZIP code 30078, the renter population constitutes 17.4% of the total population of 41,597. This indicates that there are approximately 7,231 renters in the area. The median household income of $98,257 suggests that the typical resident has a relatively high income, making them less dependent on government assistance programs like Section 8 vouchers. However, the 17.4% of renters could include a mix of low-income families, young professionals, and students who may rely on such assistance. Given the high occupancy rate and the fact that the median Zillow price for a two-bedroom home is $292,468, it is clear that the market is tight. There is a limited supply of rental properties relative to the demand, which drives up rental prices. The price-to-FMR ratio of 12.4x further underscores the disparity between the cost of homeownership and rental affordability. This ratio means that the median price of a two-bedroom home is over 12 times the FMR for a similar unit, indicating that homeownership is significantly more expensive than renting. #### Investor Angle From an investor perspective, the ZIP code 30078 appears to be cash-flow positive at the FMR levels. The median Zillow price for a two-bedroom home is $292,468, and assuming a conservative estimate of 1% property tax and $100 in monthly maintenance costs, the total monthly expenses would be around $1,318. With an FMR of $1,970, this leaves a potential net cash flow of about $652 per month before considering other factors such as insurance and financing costs. However, the investment grade of this ZIP code depends on several factors, including the local job market, school quality, and overall desirability of the area. Snellville, being part of Gwinnett County, benefits from a robust economy and good schools, which make it attractive to both renters and buyers. The high occupancy rate also suggests that there is strong demand for rental properties, which bodes well for long-term investment stability. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors should consider focusing on smaller units, such as one-bedroom apartments, which have an FMR of $1,800. This is still a significant portion of the median income ($18.3%) and could provide better cash flow compared to larger units. Additionally, smaller units tend to be more affordable and easier to manage. 2. **Consider Location-Specific Pricing**: While the FMR provides a guideline, investors should conduct thorough market research to understand location-specific pricing trends. Areas closer to employment centers or with better access to amenities might command higher rents. Investors should aim to locate properties in these areas to maximize their returns while remaining competitive. 3. **Engage with Local Housing Authorities**: To ensure a steady stream of tenants, investors should engage with local housing authorities and familiarize themselves with the Section 8 process. Building relationships with these entities can help secure a reliable tenant base, reducing vacancy rates and providing consistent income. #### Bottom Line Based on the analysis, the recommendation for Section 8-focused investors in ZIP code 30078 is to **Buy**. The high occupancy rate and strong local economy suggest that there is a stable demand for rental properties. While the price-to-FMR ratio is high, focusing on smaller units and strategic locations can mitigate this risk. Engaging with local housing authorities can also provide a buffer against market fluctuations. Overall, the potential for positive cash flow and the desirability of the area make it a worthwhile investment for those targeting Section 8 tenants.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.