Location: Marion County, AL | Metro: Franklin County, AL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $750 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $950 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,300 |
| 5 Bedrooms | $1,508 |
| 6 Bedrooms | $1,689 |
| 7 Bedrooms | $1,824 |
| 8 Bedrooms | $1,915 |
U.S. Census Bureau data (2024)
The rent math in ZIP code 35581 within Marion County, Alabama, is favorable for landlords. The Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $840, which exceeds the current market rent of $706 based on Census ACS data. This indicates that landlords can potentially increase their rental rates closer to the FMR without significantly impacting occupancy.
Acquisition in this area remains affordable. With a median home value of $180,228, it represents a reasonable investment opportunity for small-portfolio investors. However, due to the lack of specific data on days on market (DOM) and the percentage of homes requiring price cuts, it's challenging to provide a precise assessment of how quickly homes sell and at what price point. Nonetheless, the median home value suggests that homes are generally priced at a level that allows for positive cash flow when rented at the current market rate.
Tenant demand in ZIP 35581 is robust. The area has a total population of 5,932, with 25.2% of residents being renters. This translates to approximately 1,500 potential tenants, indicating a steady pool of renters who could occupy properties in the area. Given the relatively low median home value and the higher FMR compared to the current market rent, the demand for rental properties is likely to remain strong.
Verdict: ZIP 35581 presents a viable opportunity for landlords and small-portfolio investors. The ability to increase rents towards the FMR of $840 while the current market rent stands at $706 suggests profitability. The median home value of $180,228 is within an affordable range, and with about 1,500 renters out of a total population of 5,932, there is a consistent tenant base. These factors combined indicate a positive outlook for real estate investments in this area under the Section 8 program.
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.