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 | $770 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $980 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,550 |
| 5 Bedrooms | $1,798 |
| 6 Bedrooms | $2,014 |
| 7 Bedrooms | $2,175 |
| 8 Bedrooms | $2,284 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,310 | $227,817 | 0.58% | F |
U.S. Census Bureau data (2024)
The ZIP code 35772 is situated in a suburban area characterized by a relatively small population of 4,082 residents. The rental market here is modest, with 30.2% of the residents being renters. The median household income in this area is $39,313, indicating a middle-income demographic. The median home value stands at $176,431, which reflects a moderate cost of living.
From an investment standpoint, the economic landscape of ZIP 35772 is particularly interesting due to the disparity between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR is set at $810, while the Census ACS data indicates a market rent of $721. This gap suggests that there is potential for landlords to increase rents towards the FMR level without significantly deterring tenants, given the local income levels and housing values.
Considering these factors, ZIP 35772 would be suitable for both hands-off voucher operators and hands-on value-add buyers. Voucher operators can benefit from the lower market rent compared to the FMR, ensuring a steady stream of income through government subsidies. Value-add buyers might find opportunities to renovate properties and command higher rents closer to the FMR, thereby increasing their returns on investment. However, it's important to note that the success of such strategies will depend on the specific property conditions and the ability to attract tenants willing to pay closer to the FMR.
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.