Location: Huntsville, AL | Metro: Huntsville, AL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,380 |
| 1 Bedroom | $1,530 |
| 2 Bedrooms | $1,760 |
| 3 Bedrooms | $2,270 |
| 4 Bedrooms | $2,830 |
| 5 Bedrooms | $3,283 |
| 6 Bedrooms | $3,677 |
| 7 Bedrooms | $3,971 |
| 8 Bedrooms | $4,170 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 35615 reveals a unique real estate landscape that landlords and small-portfolio investors should carefully consider. The Fair Market Rent (FMR) for the area as of the fiscal year 2024 is set at $1050, which represents the rental price point deemed fair for low-income families under the Section 8 program. This figure is critical in understanding the potential yield of properties in this ZIP code.
However, the absence of data regarding the local market rental rates and home values means that direct comparisons cannot be made to gauge whether the FMR of $1050 is above or below the typical market rate. In the absence of such data, the yield potential for properties in ZIP 35615 can only be assessed based on the FMR alone, suggesting a moderate yield scenario where the rental income aligns closely with the needs of low-income tenants but does not exceed market expectations.
Stability in ZIP 35615 is another key factor for investors. With 0.0% of the population identified as renters, it indicates a very low demand for rental properties in this area. This statistic points towards a highly unstable market for rentals, as there is little evidence of a robust tenant base. Additionally, the lack of data on days on market (DOM) and median income further complicates the assessment of stability, but the low percentage of renters strongly suggests that any investment here would face significant challenges in maintaining consistent occupancy and cash flow.
Conclusion: ZIP 35615 is characterized by a low-stability environment due to the minimal presence of renters. While the yield potential, based solely on the FMR of $1050, might seem appealing, the overall risk associated with maintaining occupancy makes this a less favorable option for most landlords and small-portfolio investors seeking steady cash flow. Investors looking for high-yield opportunities should explore markets with more comprehensive data indicating higher demand for rental properties and better stability metrics.
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.