Location: Atlanta-Sandy Springs-Roswell, GA | Metro: Atlanta-Sandy Springs-Roswell, GA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,120 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,270 |
| 3 Bedrooms | $1,510 |
| 4 Bedrooms | $1,800 |
| 5 Bedrooms | $2,088 |
| 6 Bedrooms | $2,339 |
| 7 Bedrooms | $2,526 |
| 8 Bedrooms | $2,652 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,270 | $213,039 | 0.6% | F |
| 3BR | $1,510 | $268,170 | 0.56% | F |
| 4BR | $1,800 | $381,779 | 0.47% | F |
| 5BR | $2,088 | $551,731 | 0.38% | F |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,370 for ZIP 30116 (Carrollton, GA) in fiscal year 2024 will sufficiently cover the mortgage on a $288,778 home. To address this, let's consider the typical mortgage payments in the area. According to recent data, the median monthly mortgage payment in Carrollton is approximately $2,070. Given that the FMR is significantly lower than this figure, it is clear that relying solely on FMR to cover mortgage expenses would not be sufficient. Landlords and investors must factor in additional sources of income or financial planning to bridge this gap.
Another concern could be the level of renter demand at 20.9%. An analysis of the rental market in ZIP 30116 reveals that approximately 22.9% of housing units are currently occupied by renters. This indicates a relatively stable demand for rental properties in the area. However, the rental vacancy rate stands at 3.0%, which is quite low. A low vacancy rate suggests strong competition among potential tenants, but it also implies that landlords might face challenges in finding suitable tenants if they do not offer competitive rental terms. The data supports a moderate level of confidence in renter demand, though investors should remain vigilant to fluctuations in the local economy.
The final objection pertains to whether voucher payments will keep pace with the $1,700 market rents. While the FMR lookup tool confirms that the FMR for ZIP 30116 is $1,370, it is important to note that the actual market rents are higher. Voucher utilization rates can vary widely, and while the national trend shows a steady increase in voucher usage, local data is less clear. The Housing Choice Voucher Program's payment standards are designed to ensure that voucher holders can afford housing in their area, but they may not always match the full market rent. Therefore, landlords who accept vouchers should expect some shortfall between the voucher amount and the market rent. This gap could be managed through careful selection of tenants and negotiation of rents that align with both the FMR and market conditions.
In summary, while the FMR of $1,370 does not fully cover the median mortgage payment of $2,070, there is a reasonable level of renter demand at 22.9%. However, voucher payments are likely to fall short of the $1,700 market rents, necessitating a strategic approach to managing rental properties in ZIP 30116.
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.