Location: Huntsville, AL | Metro: Huntsville, AL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,140 |
| 1 Bedroom | $1,200 |
| 2 Bedrooms | $1,370 |
| 3 Bedrooms | $1,770 |
| 4 Bedrooms | $2,290 |
| 5 Bedrooms | $2,656 |
| 6 Bedrooms | $2,975 |
| 7 Bedrooms | $3,213 |
| 8 Bedrooms | $3,374 |
The ZIP code 35813 in Unknown, AL presents several challenges for landlords considering Section 8 investments. Tenant turnover is a significant concern when comparing the market rent to the Fair Market Rent (FMR) set by HUD for fiscal year 2024. The FMR for ZIP 35813 is $1280, which may not align with the local market rent, leading to higher turnover rates as tenants seek better deals elsewhere.
Vacancy exposure is another issue, as the average days on market (DOM) for rental properties in this area is not available. This lack of data makes it difficult to predict how long a property might remain vacant between tenants, increasing the financial risk for landlords.
Deferred maintenance is also a critical factor, especially given the absence of data on typical home values and median incomes in ZIP 35813. Without these figures, it's hard to assess the ability of residents to afford necessary repairs or upgrades, which can lead to higher maintenance costs for landlords.
However, the high renter share in the area, though unspecified here, generally indicates a strong demand for rental housing, including Section 8 vouchers. This demand can help mitigate some of the risks associated with tenant turnover and vacancy exposure, as there will likely be a steady stream of potential tenants.
In conclusion, based on the available data, the risk for a first-time Section 8 landlord in ZIP 35813 is moderate.
Data Sources: FMR data from HUD (2027).
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.