Section 8 Fair Market Rent (FMR) for ZIP 35978 - 2027

Location: Jackson County, AL | Metro: DeKalb County, AL

Investment Score for ZIP 35978

N/A
Monthly Rent (2BR)
$1,190
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$900
1 Bedroom$910
2 Bedrooms$1,190
3 Bedrooms$1,500
4 Bedrooms$1,970
5 Bedrooms$2,285
6 Bedrooms$2,559
7 Bedrooms$2,764
8 Bedrooms$2,902

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
3BR $1,500 $228,722 0.66% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
5,580
Median Household Income
$55,509
Housing Units
2,296
Renter Percentage
22.5%
Occupancy Rate
86.3%
Renter Occupied
446

22.5% of residents in ZIP code 35978 are renters, indicating a significant demand for rental properties in the area. $990 is the Fair Market Rent (FMR) for the metro area as of fiscal year 2026, which represents the maximum amount that a Section 8 voucher holder can pay towards their housing costs. This figure is slightly lower than the $1,041 market rent reported by the Census Bureau's American Community Survey, suggesting that properties priced at or below the FMR could attract both voucher holders and other low-income tenants. The median home value in the area stands at $203,776, reflecting a moderate housing market where properties are neither excessively expensive nor cheap. With a median income of $55,509, many households may find it challenging to afford homeownership, thereby increasing the likelihood of them seeking rental accommodations. Although the average days on market (DOM) and the percentage of price-cut share are not available, the data suggests that there is a competitive rental market with a notable portion of the population relying on affordable housing options. Given the high renter share and the disparity between the FMR and market rent, landlords and small-portfolio investors in ZIP 35978 should consider the benefits of participating in the Section 8 program to ensure steady occupancy and stable cash flows.

Verdict: ZIP 35978 presents a favorable environment for Section 8 participation, with a substantial renter base and rents above 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.