States ranked by median investment score for Section 8 housing. Investment scores are based on Fair Market Rent (FMR) data, property values, tax rates, and net yield calculations for FY 2027.
Scores are normalized where 100 = median yield. Higher scores indicate better investment potential for Section 8 properties based on rent-to-price ratios and net yields after taxes.
| Rank | State | Median Score | Avg Score | Avg Net Yield | Avg Rent/Price | ZIP Codes |
|---|---|---|---|---|---|---|
| #1 | Louisiana LA | 147 | 151 | 8.97% | 9.42% | 1,188 |
| #2 | West Virginia WV | 143 | 146 | 8.66% | 9.19% | 1,536 |
| #3 | Mississippi MS | 140 | 144 | 8.56% | 9.29% | 1,041 |
| #4 | North Dakota ND | 139 | 151 | 8.97% | 9.80% | 914 |
| #5 | Arkansas AR | 139 | 141 | 8.40% | 8.97% | 1,457 |
| #6 | Oklahoma OK | 134 | 136 | 8.10% | 8.76% | 1,776 |
| #7 | Alabama AL | 126 | 133 | 7.93% | 8.29% | 1,653 |
| #8 | Kansas KS | 123 | 127 | 7.58% | 9.02% | 1,839 |
| #9 | Illinois IL | 120 | 125 | 7.45% | 9.33% | 3,951 |
| #10 | Kentucky KY | 119 | 128 | 7.62% | 8.37% | 1,861 |
| #11 | Texas TX | 117 | 123 | 7.34% | 8.69% | 4,961 |
| #12 | South Carolina SC | 113 | 117 | 6.96% | 7.50% | 1,121 |
| #13 | South Dakota SD | 113 | 129 | 7.66% | 8.71% | 879 |
| #14 | Florida FL | 111 | 112 | 6.67% | 7.43% | 2,784 |
| #15 | Indiana IN | 110 | 115 | 6.81% | 7.51% | 2,141 |
| #16 | Missouri MO | 109 | 117 | 6.93% | 7.71% | 2,748 |
| #17 | Georgia GA | 109 | 118 | 7.03% | 7.90% | 1,968 |
| #18 | Alaska AK | 108 | 136 | 8.11% | 8.96% | 258 |
| #19 | Delaware DE | 107 | 108 | 6.42% | 6.93% | 183 |
| #20 | Pennsylvania PA | 106 | 111 | 6.60% | 7.94% | 4,913 |
| #21 | Ohio OH | 105 | 108 | 6.40% | 7.64% | 3,348 |
| #22 | Iowa IA | 104 | 108 | 6.44% | 7.71% | 2,724 |
| #23 | Nebraska NE | 103 | 112 | 6.64% | 7.95% | 1,566 |
| #24 | New Mexico NM | 102 | 108 | 6.42% | 7.01% | 681 |
| #25 | Michigan MI | 101 | 107 | 6.35% | 7.57% | 2,871 |
| #26 | Maryland MD | 99 | 103 | 6.12% | 7.08% | 1,269 |
| #27 | North Carolina NC | 99 | 105 | 6.26% | 6.98% | 2,262 |
| #28 | Virginia VA | 98 | 103 | 6.14% | 6.82% | 2,337 |
| #29 | Minnesota MN | 98 | 104 | 6.19% | 7.15% | 2,550 |
| #30 | Tennessee TN | 97 | 105 | 6.21% | 6.76% | 1,740 |
| #31 | Nevada NV | 96 | 103 | 6.15% | 6.67% | 435 |
| #32 | Arizona AZ | 96 | 98 | 5.82% | 6.36% | 981 |
| #33 | Maine ME | 94 | 101 | 6.01% | 7.05% | 1,194 |
| #34 | Vermont VT | 89 | 92 | 5.47% | 7.16% | 729 |
| #35 | Colorado CO | 87 | 93 | 5.50% | 5.92% | 1,360 |
| #36 | New York NY | 86 | 90 | 5.34% | 7.18% | 4,789 |
| #37 | Montana MT | 82 | 95 | 5.67% | 6.39% | 916 |
| #38 | District of Columbia DC | 82 | 81 | 4.84% | 5.43% | 66 |
| #39 | Oregon OR | 81 | 83 | 4.92% | 5.66% | 1,122 |
| #40 | California CA | 79 | 81 | 4.81% | 5.50% | 4,683 |
| #41 | Connecticut CT | 79 | 81 | 4.80% | 6.58% | 763 |
| #42 | Wyoming WY | 78 | 83 | 4.92% | 5.45% | 366 |
| #43 | Idaho ID | 78 | 79 | 4.68% | 5.18% | 720 |
| #44 | Utah UT | 78 | 85 | 5.05% | 5.55% | 786 |
| #45 | Washington WA | 76 | 79 | 4.67% | 5.44% | 1,614 |
| #46 | Massachusetts MA | 76 | 76 | 4.52% | 5.65% | 1,533 |
| #47 | Wisconsin WI | 75 | 79 | 4.67% | 6.08% | 2,280 |
| #48 | New Jersey NJ | 72 | 74 | 4.41% | 6.45% | 1,677 |
| #49 | Rhode Island RI | 70 | 73 | 4.35% | 5.64% | 213 |
| #50 | Hawaii HI | 69 | 74 | 4.40% | 4.65% | 240 |
About Section 8 Investment Scores
Investment scores are calculated using Fair Market Rent (FMR) data from HUD, property values from Zillow (ZHVI), and effective property tax rates from the American Community Survey (ACS). Scores are normalized where 100 represents the median yield across all ZIP codes.
Higher scores indicate better investment potential for Section 8 properties, considering factors like rent-to-price ratios, net yields after taxes, and market stability. States with higher median scores typically offer better cash flow potential for Section 8 housing investments.