Section 8 Fair Market Rent (FMR) for ZIP 35089 - 2027
Location: Tallapoosa County, AL | Metro: Coosa County, AL
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $770 |
| 1 Bedroom | $790 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$56,213
A landlord considering purchasing a property in ZIP code 35089 for Section 8 investment must navigate several key factors. Here's a decision tree to guide that process:
- Does the Fair Market Rent (FMR) of $840 cover the debt service on a $136,236 property?
- Yes: The FMR of $840 per month is sufficient to clear the debt service on a property valued at $136,236, assuming standard financing terms. This means the rental income can meet mortgage payments and other financial obligations associated with owning the property.
- No: If the FMR does not cover the debt service, purchasing a property in this ZIP code for Section 8 would not be financially viable under the given conditions.
- Is the market rent above, at, or below the FMR of $840?
- Market rent is above FMR: If the local market rent exceeds the FMR, landlords can potentially earn additional income beyond what is covered by Section 8 vouchers. However, this also implies that tenants might struggle to find properties they can afford with their vouchers, reducing demand.
- Market rent is at FMR: When market rents align with the FMR, landlords can expect stable income from Section 8 tenants without additional financial strain. This scenario supports the feasibility of investing in Section 8 properties.
- Market rent is below FMR: If market rents are lower than the FMR, landlords could face competition from non-subsidized housing, but they also benefit from higher-than-market rental rates from Section 8 vouchers.
- Are the 26.3% of renters combined with the number of days on the market (DOM) indicative of sufficient demand?
- It depends: With 26.3% of the population renting, there is a notable demand for rental properties. However, the lack of data regarding DOM makes it difficult to assess how quickly properties are being leased. A low DOM suggests strong demand, whereas a high DOM indicates challenges in finding tenants.
In summary, if the FMR of $840 covers the debt service on a $136,236 property and market rent aligns closely with or is below the FMR, then investing in Section 8 properties in ZIP 35089 is feasible. The presence of 26.3% renters provides a foundation for demand, though the exact DOM is crucial for understanding the speed at which properties are rented out.
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.