Location: Decatur, AL | Metro: Decatur, AL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $750 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP code 35643 is set to remain stable over the next 12-24 months, with median home values currently at $203,634. This figure suggests that homeowners have a solid baseline valuation, but the absence of percentage data on listings reductions and days on market (DOM) indicates a lack of recent volatility. The stability in home values means that landlords and small-portfolio investors can expect consistent pricing power, without significant fluctuations.
On the rental side, the Fair Market Rent (FMR) for ZIP 35643 is projected to be $860 for fiscal year 2024, up from the current market rate of $762 according to the Census Bureau's American Community Survey. This upward trend in FMR signals potential growth in rental income, making it an attractive time for long-term investment. Landlords can anticipate higher rents aligning with the FMR, thus improving cash flow and overall property returns.
For long-hold investors, the setup implies a realistic appreciation thesis based on the steady increase in FMR and stable home values. However, the lack of specific DOM and listings reduction percentages suggests that rapid appreciation is unlikely. Instead, the market is poised for gradual growth, supported by the increasing demand for rental properties and the steady rise in fair market rents. This scenario allows investors to benefit from both rental income and moderate capital appreciation, without the risk of sudden market downturns.
In summary, the median home value, the projected increase in FMR, and the current market rate all point towards a favorable environment for long-term investments in ZIP 35643. Landlords and small-portfolio investors should focus on acquiring properties that can leverage the growing rental market, while maintaining a realistic expectation for modest home value appreciation over the next couple of years.
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.