Location: Lamar County, AL | Metro: Lamar County, AL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $740 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $970 |
| 3 Bedrooms | $1,270 |
| 4 Bedrooms | $1,270 |
| 5 Bedrooms | $1,473 |
| 6 Bedrooms | $1,650 |
| 7 Bedrooms | $1,782 |
| 8 Bedrooms | $1,871 |
U.S. Census Bureau data (2024)
23.8% of residents in ZIP code 35586 are renters, indicating a notable demand for rental properties in the area. With a market rent of $553 based on Census ACS data, landlords can expect this figure to be a reliable benchmark for setting rental prices. However, the Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $780, which suggests that there is room for landlords to potentially increase their rents without pricing out tenants who qualify for assistance programs.
$125,567 is the median home value in this ZIP code, reflecting a relatively stable housing market. This figure can help investors gauge the overall property values and determine whether they should focus on single-family homes or multifamily units for their investments. Given the median income of $38,286, it's clear that many residents might struggle to afford homeownership, further supporting the strong rental market.
The absence of data for days on market (DOM) and the percentage of price-cut share indicates that the local real estate market may not be as active or tracked as closely as larger markets. This could mean less competition for landlords and small-portfolio investors looking to acquire properties, but also requires careful due diligence to ensure accurate valuation and potential rental income.
In conclusion, the combination of a moderate renter share, a significant gap between market rent and FMR, and a stable median home value makes ZIP 35586 a viable option for Section 8 investments. The median income figure supports the likelihood of tenant qualification for assistance programs, ensuring steady rental income for investors.
Section 8 Verdict: Suitable for investment.
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.