Location: Marshall County, AL | Metro: DeKalb County, AL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $950 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 35975, located in Marshall County, AL metro, reveals a unique opportunity. The HUD Fair Market Rent (FMR) for the area is set at $790 for fiscal year 2026. However, the current market rent data is not available, which means we cannot directly compare the FMR against the prevailing rental rates. Despite this lack of direct comparison, we can infer that voucher tenants will likely cashflow at the FMR rate given the absence of higher market rents that would make it otherwise.
To further understand the investment potential, consider the median home value in the area, which stands at $224,934. This figure allows us to calculate a rent-to-price ratio. Assuming a typical mortgage payment of around $1,100 based on the median home value and a standard interest rate, the monthly cost of owning a property in this area significantly exceeds the FMR. Thus, the rent-to-price ratio suggests that renting at the FMR level is less profitable than owning a home, but it still provides a stable income stream for landlords.
The days on market (DOM) and the percentage of price cuts are not provided, indicating that these factors might not be significant contributors to the current rental market dynamics. Given the data available, the most compelling aspect for investors in ZIP 35975 is the stability offered by the Section 8 program. Voucher holders provide guaranteed, government-backed rental income, which is particularly attractive in an area where market rents are either low or stable.
The strongest investor angle in ZIP 35975 is stability, ensuring a reliable and consistent income source through the Section 8 program.
Data Sources: FMR data from HUD (2027). 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.