Location: Jackson County, AL | Metro: Jackson County, AL
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 | $720 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,450 |
| 5 Bedrooms | $1,682 |
| 6 Bedrooms | $1,884 |
| 7 Bedrooms | $2,035 |
| 8 Bedrooms | $2,137 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,240 | $196,977 | 0.63% | D |
U.S. Census Bureau data (2024)
The ZIP code 35740 is characterized by a significant rental population, with 32.7% of its 3,443 residents being renters. This indicates a notable presence of potential Section 8 tenants. The median household income stands at $46,148, which is crucial when evaluating the demand for rental vouchers.
In this area, the market rent is $580, which represents approximately 12.5% of the median household income. This percentage suggests that the typical rent is relatively affordable compared to the average income level, making it attractive for both regular and voucher-assisted tenants.
However, when compared to the Fair Market Rent (FMR) of $780 for the fiscal year 2026, which is set for the metro area, the market rent in ZIP 35740 is notably lower. This discrepancy highlights that the actual rents charged are below the federally determined fair market rate, indicating a potentially underserved market where voucher demand could be high.
A landlord in ZIP 35740 should anticipate a tenant pool that heavily relies on rental assistance programs. Given the income levels and the current market rent, these tenants would likely constitute a significant portion of the rental market. They would benefit from the lower-than-FMR rents, making the area particularly suited for those who require financial aid to secure housing.
To summarize, ZIP 35740 presents itself as a location with substantial rental demand, especially among those who might need Section 8 vouchers. With rents consuming only a modest portion of the local income, the area remains accessible to a wide range of tenants, including those who receive government subsidies.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.