Section 8 Fair Market Rent (FMR) for ZIP 30518 - 2027

Investment Score for ZIP 30518

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	$1,600
1 Bedroom	$1,680
2 Bedrooms	$1,830
3 Bedrooms	$2,190
4 Bedrooms	$2,600
5 Bedrooms	$3,016
6 Bedrooms	$3,378
7 Bedrooms	$3,648
8 Bedrooms	$3,830

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	$1,830	$308,237	0.59%	F
3BR	$2,190	$383,276	0.57%	F
4BR	$2,600	$489,030	0.53%	F
5BR	$3,016	$663,973	0.45%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 30518 (Buford, GA) #### Section 8 Voucher Dynamics In ZIP code 30518, the Fair Market Rent (FMR) for a two-bedroom apartment is set at $1860 per month for 2026. This represents approximately 23.0% of the median household income of $96,936, which is a reasonable proportion according to HUD guidelines. However, the actual rental market in Buford, GA, presents a different picture. The Zillow median price for a two-bedroom home is $305,885, which translates into a monthly rent of roughly $1,370 based on a typical mortgage payment (assuming a 4.5% interest rate and a 20-year amortization period). This implies that the actual rents in the area are significantly lower than the FMR, creating a discrepancy where voucher holders might find it challenging to secure housing within the FMR limits. The price-to-FMR ratio of 13.7x suggests that homes in this area are priced much higher than what would be considered fair market rent, making it difficult for voucher holders to find suitable properties. #### Affordability & Renter Profile The population of Buford, GA, stands at 57,912, with 24.4% of residents being renters. Given the occupancy rate of 94.2%, it indicates a relatively tight rental market with limited vacancy. The median household income of $96,936 suggests that the majority of residents have above-average earning potential, which could contribute to a competitive rental environment. However, the 24.4% renter percentage is relatively low compared to many urban areas, implying that there might be fewer rental units available overall. The FMR for a three-bedroom unit is $2240, which is still below the typical mortgage payment for a similar-sized home, indicating that the rental market is generally more affordable than the purchase market. #### Investor Angle From an investor’s perspective, the ZIP code 30518 appears to offer a mixed landscape. The FMR for a two-bedroom unit is $1860, while the Zillow median price suggests a monthly rent of around $1,370. This means that if an investor purchases a property at the median price and rents it out at the FMR, they would likely see positive cash flow. However, the high price-to-FMR ratio of 13.7x suggests that the investment grade is moderate to low, as the cost of acquiring a property far exceeds the rental income it can generate under the FMR guidelines. Investors should consider the local rental dynamics and the likelihood of finding tenants willing to pay the FMR, especially given the tight market conditions. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, investors should focus on smaller units such as one-bedroom apartments. The FMR for a one-bedroom unit is $1700, which is closer to the actual rental rates in the area. This could provide a better chance of positive cash flow and aligning with the needs of Section 8 voucher holders. 2. **Consider Renovation Projects**: Investors might benefit from purchasing older, less expensive properties and renovating them to meet FMR standards. This approach can help reduce the initial acquisition cost and potentially increase the rental value to match the FMR, thereby improving the chances of attracting voucher holders. 3. **Explore Subsidized Housing Programs**: Due to the tight rental market, exploring subsidized housing programs or partnerships with local government initiatives could provide additional support for maintaining positive cash flow. These programs often offer incentives or subsidies that can offset the higher costs associated with FMR-compliant properties. #### Bottom Line For Section 8-focused investors, the recommendation for ZIP code 30518 is to **Hold**. While there are opportunities for positive cash flow, particularly with smaller units, the high price-to-FMR ratio and the tight rental market make it challenging to find properties that fit within the FMR guidelines without significant financial strain. Investors should carefully evaluate the local rental dynamics and consider alternative strategies, such as focusing on smaller units or exploring renovation projects, to improve their chances of success. However, given the competitive nature of the market and the high costs of property acquisition, caution is advised before making substantial investments. --- This analysis provides a detailed look into the rental market dynamics, affordability, and investment potential in ZIP code 30518, specifically for Section 8 voucher holders. It highlights the challenges and opportunities present in the area, offering concrete insights based on the provided data.

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.