Location: Meigs County, OH | Metro: Meigs County, OH
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 | $760 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,000 | $101,899 | 0.98% | C |
| 3BR | $1,200 | $170,569 | 0.7% | D |
| 4BR | $1,530 | $194,564 | 0.79% | D |
U.S. Census Bureau data (2024)
To derive the Section 8 cap-rate picture for ZIP code 45769 in Pomeroy, Ohio, we'll compare the Federal Market Rent (FMR) and the market rent against the median home value.
The annualized Federal Market Rent for a 2-bedroom unit is $970 per month, which translates to an annual income of $11,640. The median home value in the area is $98,209. Using these figures, the implied gross yield for a property rented under the Section 8 program would be approximately 11.85%. This calculation is derived by dividing the annual rental income ($11,640) by the median home value ($98,209).
In contrast, the market rent for a 2-bedroom unit is $684 per month, equating to an annual income of $8,208. When this market rent is compared against the median home value of $98,209, the implied gross yield drops significantly to about 8.35%. This figure is obtained by dividing the annual market rent ($8,208) by the median home value ($98,209).
The gross yield under the Section 8 program is higher at 11.85% compared to the market rent yield of 8.35%. However, the decision on which scenario is more realistic depends on several factors, including the percentage of renters and the typical days on market (DOM) for properties in the area.
Pomeroy, OH has a renter density of 24.2%, indicating that a significant portion of the population owns homes rather than renting. This suggests that landlords might find it challenging to attract tenants willing to pay market rent, making the Section 8 program a more stable option. Additionally, the N/A-day DOM implies that there isn't enough data to determine how long properties typically stay on the market, which could mean that rental vacancies are unpredictable.
Given the relatively low renter density and the uncertain vacancy rates, the Section 8 scenario with a gross yield of 11.85% appears to be a more reliable investment choice for landlords and small-portfolio investors. It provides a guaranteed income stream and reduces the risk associated with finding and retaining tenants in a market where owner-occupied housing is prevalent.
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.