Section 8 Fair Market Rent (FMR) for ZIP 04734 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

The ZIP code 04734, located in Tennessee, represents a unique market characterized by a blend of rural charm and suburban convenience. This area offers investors a stable environment with modest rental yields, making it suitable for those seeking low-risk investments.

• Fair Market Rent (FMR): The Fair Market Rent for the metro area in fiscal year 2026 is set at $1,150, providing a benchmark for rental pricing.
• Market Rent: According to the Census ACS, the average market rent stands at $691, indicating a significant gap between actual rents and the FMR.
• Renter Share: Renter share in the area is relatively low at 8.0%, suggesting a preference for homeownership over renting.
• Median Income: The median household income in ZIP 04734 is $79,219, which supports higher rental rates but also indicates strong purchasing power among residents.

The data points to a market where rental yields can be improved upon, given the discrepancy between the Fair Market Rent and the current market rent. However, the low renter share suggests that demand might not be robust enough to push rents up significantly. Investors should focus on properties that offer good value propositions and consider targeting the local demographics effectively to maximize occupancy and rental income. With the median income being relatively high, there's potential for increasing rents if the property quality justifies it, though this must be balanced against the prevailing market conditions and tenant preferences.

Data Sources: FMR data from HUD (2027). 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.