Location: Florence-Muscle Shoals, AL | Metro: Florence-Muscle Shoals, AL MSA
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 | $690 |
| 1 Bedroom | $760 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,300 |
| 5 Bedrooms | $1,508 |
| 6 Bedrooms | $1,689 |
| 7 Bedrooms | $1,824 |
| 8 Bedrooms | $1,915 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,230 | $189,742 | 0.65% | D |
U.S. Census Bureau data (2024)
The ZIP code 35646 has a population of 4,568 individuals, with 18.8% being renters. The median household income in this area stands at $71,217. This data indicates that while there is a notable rental market, it is not dominated by renters; rather, homeownership seems to be more prevalent.
Regarding the Section 8 voucher program, the demand appears to be moderate rather than deep. With a market rent of $559, the typical rent eats up approximately 7.8% of the local median income. This figure is calculated by dividing the market rent by the median household income and multiplying by 100. To put this into perspective, the Fair Market Rent (FMR) for the area, set at $860 for FY 2024, represents a higher percentage of local income, about 12.1%. This suggests that landlords might find it challenging to attract tenants with Section 8 vouchers due to the gap between the voucher amount and the FMR.
The kind of tenant profile landlords in ZIP 35646 should expect is someone who relies on a government housing subsidy but may still struggle to afford the average market rent. These tenants would likely have an income level below the median, possibly around the poverty line or slightly above, which is typically where Section 8 eligibility begins. Landlords should be prepared to work with tenants who have a budget that aligns more closely with the $559 market rent rather than the higher FMR.
To summarize, ZIP 35646 is not a renter-heavy area with deep voucher demand. Instead, it is a place where homeownership is more common, and voucher availability is less abundant. The disparity between the market rent and the FMR highlights the financial challenges faced by Section 8 tenants in this area, necessitating landlords to adjust their expectations accordingly.
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.