Location: Washington County, AL | Metro: Washington County, AL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
U.S. Census Bureau data (2024)
The median income in ZIP code 36569 stands at $55,774, which places significant constraints on rental affordability. Given the lack of specific market rate data for this area, it's critical to consider the Fair Market Rent (FMR) set by HUD, which is $960 per month for FY 2024. This figure represents the maximum amount that a Section 8 voucher will cover for rent in this ZIP code.
With only 1.6% of the population being renters and a total population of 637, the rental market in ZIP 36569 is highly limited. The low percentage of renters suggests that the housing stock is predominantly owner-occupied, which could indicate less competition among landlords for rental properties. However, the small number of potential tenants also means a narrow pool to draw from.
The affordability gap becomes evident when comparing the median income to the FMR. A household earning the median income would likely struggle to afford market-rate rentals if they exceed the $960 FMR. For those relying on Section 8 vouchers, the $960 limit is non-negotiable, meaning landlords must adjust their expectations accordingly.
Landlords considering their strategy should weigh the benefits and drawbacks of accepting Section 8 vouchers versus seeking cash-paying tenants. While cash-paying tenants might offer higher rents, the limited rental market and the fact that many households earn below the median income suggest that there may be a significant number of potential tenants who rely on vouchers. Accepting vouchers can provide a steady and reliable stream of income, albeit at a fixed rate.
The takeaway for landlords is that while the rental market in ZIP 36569 is constrained, focusing on voucher acceptance can open up a segment of the market that might otherwise be overlooked. This approach ensures a consistent tenant base, though it requires setting rental rates within the HUD guidelines. Landlords should carefully assess their costs and consider the advantages of long-term stability over potentially higher but less secure cash payments.
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.