Location: Franklin County, FL | Metro: Wakulla County, FL HUD Metro FMR Area
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 | $1,120 |
| 1 Bedroom | $1,220 |
| 2 Bedrooms | $1,360 |
| 3 Bedrooms | $1,800 |
| 4 Bedrooms | $1,890 |
| 5 Bedrooms | $2,192 |
| 6 Bedrooms | $2,455 |
| 7 Bedrooms | $2,651 |
| 8 Bedrooms | $2,784 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,360 | $332,616 | 0.41% | F |
| 3BR | $1,800 | $505,681 | 0.36% | F |
| 4BR | $1,890 | $716,823 | 0.26% | F |
U.S. Census Bureau data (2024)
The rent math for ZIP 32346 does not work favorably for landlords. The Fair Market Rent (FMR) set at $1760 for fiscal year 2024 contrasts sharply with the actual market rent, which stands at $984 according to Census ACS data. This significant gap indicates that landlords would need to charge nearly double the current market rate to meet the FMR, which is unlikely given local rental trends.
Acquisition in ZIP 32346 is relatively affordable, with a median home value of $419,436. However, the lack of data on days on market (DOM) and the low percentage of homes needing price cuts (0.2%) suggest that the housing market is stable but not particularly dynamic. Landlords should be cautious about overpaying for properties, as the market does not show signs of rapid turnover or significant price adjustments.
Tenant demand in ZIP 32346 is limited. With a total population of 2,356, only 23.5% of residents are renters. This implies a small pool of potential tenants, which could make it challenging to find and retain occupants. The limited renter base means competition for tenants is likely high, and landlords must offer competitive rates and amenities to attract and keep them.
In summary, ZIP 32346 presents a challenging investment environment for landlords due to the mismatch between FMR and market rent, limited tenant demand, and a stable but unexciting housing market. While property acquisition is affordable, the difficulties in achieving profitable rental income and finding tenants outweigh the benefits. This area is not recommended for those seeking a straightforward real estate investment strategy.
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.