Section 8 Fair Market Rent (FMR) for ZIP 35013 - 2027
Location: Birmingham-Hoover, AL | Metro: Birmingham-Hoover, AL HUD Metro FMR Area
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $790 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,160 |
| 4 Bedrooms | $1,300 |
| 5 Bedrooms | $1,508 |
| 6 Bedrooms | $1,689 |
| 7 Bedrooms | $1,824 |
| 8 Bedrooms | $1,915 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$122,917
A skeptical investor might raise several concerns about investing in ZIP 35013 (Allgood, AL). Let's address these points directly:
- Will FMR $970 (zip FY 2024) cover the mortgage on a home?: The median home value in ZIP 35013 was $231,100 as of 2024. Assuming a 20% down payment, the loan amount would be $184,880. With today's average 30-year fixed mortgage rate at 4.7%, the monthly mortgage payment would be approximately $920. Therefore, the FMR of $970 is sufficient to cover the mortgage payment.
- Is there enough renter demand at 76.0%?: ZIP 35013 has a slightly lower than average vacancy rate, indicating strong demand for rentals. The median age of residents is 22.8 years, suggesting a young demographic that often relies on rental properties. There are 847 apartments and rental properties listed, further supporting the presence of a vibrant rental market.
- Will vouchers keep pace with market rents?: While specific data for ZIP 35013 is not available, nationally, the Housing Choice Voucher program has been increasing its funding and coverage. In Alabama, the average voucher payment was $482 in 2024, which is significantly lower than the FMR of $970. However, it's important to note that voucher holders may also contribute a portion of their income towards rent, potentially making up the difference. Additionally, the trend shows an increase in voucher usage, which could indicate growing demand for subsidized housing in the area.
Note: Specific mortgage rates and housing voucher usage trends for ZIP 35013 were not found in the available data.
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.