Section 8 Fair Market Rent (FMR) for ZIP 31010 - 2027

FY 2027 Fair Market Rent Rates

The analysis for ZIP code 31010 in Georgia reveals some key insights into the potential returns for landlords and small-portfolio investors interested in Section 8 properties.

Based on the Fair Market Rent (FMR) for a two-bedroom apartment in the metro area for fiscal year 2026, the annualized rent would be $970 multiplied by 12 months, equating to $11,640 per year. This figure represents the rental income a landlord could expect from a Section 8 tenant in this ZIP code. However, without the specific median home value for ZIP 31010, we cannot calculate an exact cap rate for the Section 8 scenario. The implied gross yield can still be estimated using the annualized rent amount.

In the absence of market rent data, it's impossible to provide a direct comparison between market rent and Section 8 rent for ZIP 31010. Typically, market rents tend to be higher than the FMR set for Section 8, which means the gross yield for market rents would likely exceed that of the Section 8 program. For instance, if the market rent were hypothetically $1,200 per month, the annual market rent would be $14,400, leading to a higher gross yield than the $11,640 annualized from Section 8.

The lack of precise median home value and other critical metrics such as renter density and days on market (DOM) complicates a comprehensive analysis. Nonetheless, it is clear that the gross yield from Section 8 rentals at $11,640 annually would be lower compared to a typical market rent scenario, assuming market rents are indeed higher. This makes the market rent scenario more realistic for achieving higher returns, although it also comes with greater risk and management challenges.

To summarize, the Section 8 cap rate for ZIP 31010 cannot be precisely calculated due to missing data, but the implied gross yield from the annualized rent of $11,640 is a starting point for investment consideration. Investors should compare this to potential market rent yields, keeping in mind the additional complexities and risks associated with market rentals versus the stable but lower-income stream provided by Section 8 tenants.

Data Sources: FMR data from HUD (2027).

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.