Location: Butts County, GA | Metro: Butts County, 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 | $880 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,380 |
| 4 Bedrooms | $1,670 |
| 5 Bedrooms | $1,937 |
| 6 Bedrooms | $2,169 |
| 7 Bedrooms | $2,343 |
| 8 Bedrooms | $2,460 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,380 | $258,984 | 0.53% | F |
U.S. Census Bureau data (2024)
A skeptical investor considering ZIP 30216 might have several concerns regarding the feasibility of investing in properties there. Here are three common objections, addressed with the available data.
Objection 1: Will Fair Market Rent (FMR) of $1170 cover the mortgage on a $212,241 home?
The FMR of $1170 for ZIP 30216 in fiscal year 2024 is a critical figure for determining rental income potential. However, whether it can sufficiently cover the mortgage on a $212,241 home depends on the interest rate and loan terms. Assuming a typical 30-year fixed-rate mortgage with an average interest rate of around 5%, the monthly mortgage payment would be approximately $1135. This means that the FMR of $1170 could indeed cover the mortgage payment, leaving a small margin for property taxes, insurance, and maintenance costs.
Objection 2: Is there enough renter demand at 31.3%?
The renter occupancy rate of 31.3% might seem low, but it's important to understand what this percentage represents. It indicates the proportion of households that are renters. While this number is relatively low compared to some urban areas, it does not necessarily imply insufficient demand. The total number of households in ZIP 30216 also plays a role. If the area has a high number of total households, even a 31.3% rental rate can translate into a significant number of potential tenants. Moreover, the local economy and job market influence rental demand. A stable or growing economy can support higher rental rates despite lower overall occupancy rates.
Objection 3: Will vouchers keep pace with $985 market rents?
The current market rent of $985 in ZIP 30216 presents another challenge. Vouchers, which typically provide assistance up to the Fair Market Rent, may not always cover the full amount of market rent. In this case, landlords might need to consider the possibility of accepting a slightly lower rent from voucher holders or supplementing the difference themselves. However, the availability of voucher holders willing to pay up to $1170 could provide a competitive advantage over market-rate rentals, especially if the local housing market is tight. It's crucial to monitor any changes in voucher policies and funding levels that could affect this balance.
The data provides a solid foundation for addressing these concerns, but it's worth noting that external factors such as economic shifts, changes in housing policy, and local real estate trends can impact the investment landscape. Regular monitoring of these elements will help ensure continued success in managing rental properties in ZIP 30216.
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.