Location: Albany, GA | Metro: Albany, GA MSA
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 | $1,170 |
| 1 Bedroom | $1,190 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,810 |
| 4 Bedrooms | $2,240 |
| 5 Bedrooms | $2,598 |
| 6 Bedrooms | $2,910 |
| 7 Bedrooms | $3,143 |
| 8 Bedrooms | $3,300 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,350 | $159,276 | 0.85% | C |
| 3BR | $1,810 | $242,935 | 0.75% | D |
| 4BR | $2,240 | $344,335 | 0.65% | D |
| 5BR | $2,598 | $470,389 | 0.55% | F |
U.S. Census Bureau data (2024)
A skeptical investor considering Leesburg, GA (ZIP 31763) might have several valid concerns regarding the viability of investing in rental properties here, especially under the Section 8 program. Let's address these objections head-on using available data.
Objection 1: Will Fair Market Rent (FMR) of $1160 (for zip FY 2024) cover the mortgage on a $261,147 home?
The FMR of $1160 per month does not fully cover the mortgage payment on a median-priced home of $261,147. To understand this better, let's consider an average interest rate for a 30-year fixed-rate mortgage, which is currently around 6%. Using this rate, the monthly mortgage payment for a $261,147 home would be approximately $1595, assuming a 20% down payment. This means that the FMR falls short by about $435 per month. However, it's important to note that property values can vary widely within a ZIP code, and some homes may be priced lower, potentially allowing for a mortgage payment closer to the FMR.
Objection 2: Is there enough renter demand at 28.5%?
The 28.5% share of renters in Leesburg indicates a moderate level of demand for rental properties. While this percentage is not exceptionally high, it suggests that there is a steady need for rentals. The challenge lies in ensuring that the rental market can support the number of units you plan to invest in. It's crucial to research further into the local rental trends, vacancy rates, and tenant demographics to gauge the true demand. Local economic factors, such as employment opportunities and population growth, also play a significant role in sustaining rental demand.
Objection 3: Will vouchers keep pace with market rents of $1,608?
The current market rent of $1,608 in Leesburg exceeds the FMR of $1160 by $448. This gap highlights a potential issue for landlords who rely solely on Section 8 vouchers, as they may face difficulties covering the full cost of renting out their properties. However, the Section 8 program allows for a certain amount of flexibility in setting rent, up to the FMR, which can help bridge the gap between voucher payments and market rents. Landlords should also consider other sources of income, such as security deposits or application fees, to supplement the difference. Additionally, it's worth noting that the FMR is adjusted annually based on housing costs, so future adjustments could potentially narrow this gap.
In conclusion, while there are clear financial challenges in Leesburg, GA (ZIP 31763), particularly with the disparity between FMR and market rents, and the moderate level of renter demand, the Section 8 program still offers a stable source of income for landlords willing to navigate these complexities. Careful planning and additional research into local market conditions will be essential for making informed investment decisions.
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.