Location: Huntsville, AL | Metro: Huntsville, 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 | $1,060 |
| 1 Bedroom | $1,110 |
| 2 Bedrooms | $1,270 |
| 3 Bedrooms | $1,640 |
| 4 Bedrooms | $2,120 |
| 5 Bedrooms | $2,459 |
| 6 Bedrooms | $2,754 |
| 7 Bedrooms | $2,974 |
| 8 Bedrooms | $3,123 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,640 | $265,618 | 0.62% | D |
| 4BR | $2,120 | $324,693 | 0.65% | D |
U.S. Census Bureau data (2024)
The ZIP code 35750, located in a county with 13,413 residents, stands out due to its relatively low rental rate compared to the market average. With only 14.7% of the population renting, it indicates a predominantly owner-occupied community. The median income of $68,389 suggests a middle-class area where most residents can afford housing without significant financial assistance. The median home value of $261,800 further supports this notion, showing that homes are valued moderately.
When examining the voucher economics, the Fair Market Rent (FMR) for ZIP 35750 in fiscal year 2024 is set at $1,230, which is slightly below the market's ZORI (Zillow Observed Rental Index) figure of $1,324. This means that landlords participating in the Section 8 program can expect to receive rent subsidies that are close to, but slightly less than, the market rates. However, the gap between the FMR and ZORI is minimal, indicating that the financial impact on landlords is likely to be manageable.
The data signature for ZIP 35750 reads as stable. The low percentage of renters and moderate median home values suggest a community that is financially secure and has little need for extensive rental assistance programs. Landlords and small-portfolio investors should find this ZIP code attractive due to the reasonable alignment between FMR and market rents, making it a viable option for those interested in the Section 8 program.
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.