Location: DeKalb County, AL | Metro: DeKalb County, AL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,030 |
| 1 Bedroom | $1,040 |
| 2 Bedrooms | $1,360 |
| 3 Bedrooms | $1,700 |
| 4 Bedrooms | $2,270 |
| 5 Bedrooms | $2,633 |
| 6 Bedrooms | $2,949 |
| 7 Bedrooms | $3,185 |
| 8 Bedrooms | $3,344 |
U.S. Census Bureau data (2024)
In ZIP code 35981, there are several potential challenges that first-time Section 8 landlords should consider before investing. Firstly, tenant turnover can be a significant issue. The market rent stands at $1,003, while the Fair Market Rent (FMR) for FY 2026 in the metropolitan area is $1,140. This gap suggests that tenants might struggle to meet the higher FMR, leading to increased turnover rates and potential difficulties in maintaining consistent occupancy.
Vacancy exposure is another concern. With the days on market (DOM) being listed as N/A, it's difficult to predict how long properties might remain vacant. However, given the typical home value of $197,567 and a median income of $45,556, many renters may find it challenging to afford the higher rents, potentially extending the time properties stay vacant.
The deferred maintenance exposure is also noteworthy. Properties in this ZIP code are valued at an average of $197,567, but with a median income of $45,556, landlords may need to budget for additional maintenance costs that tenants cannot cover. This can lead to unexpected expenses and reduced cash flow.
Despite these risks, the high renter density in ZIP 35981 offers some mitigating factors. The renter share is 13.7%, which indicates a relatively high concentration of renters. This high density typically correlates with greater demand for rental vouchers, providing a stable pool of potential tenants who can pay consistently through the Section 8 program.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.