Location: Marion County, AL | Metro: Lamar County, AL
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 | $640 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,280 |
| 4 Bedrooms | $1,540 |
| 5 Bedrooms | $1,786 |
| 6 Bedrooms | $2,000 |
| 7 Bedrooms | $2,160 |
| 8 Bedrooms | $2,268 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,280 | $176,423 | 0.73% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 35570 are straightforward. The SAFMR (Standard Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $780 for fiscal year 2026. This figure represents the maximum amount that the Housing Choice Voucher program will pay to landlords on behalf of eligible tenants.
In contrast, the local market rent for a similar unit, based on Census ACS data, averages $613. This difference between the SAFMR and the local market rent is significant and should be considered when evaluating the financial impact of renting to Section 8 participants.
Here’s how it works for landlords: the voucher holder is responsible for paying 30% of their adjusted monthly income towards rent. For simplicity, let's assume an adjusted monthly income of $1,000. In this case, the tenant would contribute $300 towards the rent. The remaining balance, up to the SAFMR of $780, would be covered by the government. However, if the tenant's contribution plus the government subsidy exceeds the SAFMR, the landlord still cannot charge more than the SAFMR.
To illustrate further, let's break down the reimbursement process:
Note that the SAFMR also includes a utility allowance, which varies but typically ranges from $200 to $300 per month. Landlords should factor in these allowances when considering the overall compensation package.
Given the SAFMR of $780 and the average local market rent of $613, landlords in ZIP 35570 can expect a surplus of $167 per month before accounting for utilities. This surplus means that even with the tenant’s contribution and the government subsidy, landlords are likely to receive more than the typical market rent for a two-bedroom apartment in this area.
In conclusion, the economics of Section 8 in ZIP 35570 favor landlords, providing a higher reimbursement rate compared to the local market average, thus creating a positive financial outcome for property owners who participate in the program.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.