Location: Chilton County, AL | Metro: Birmingham-Hoover, AL HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $900 |
| 1 Bedroom | $910 |
| 2 Bedrooms | $1,190 |
| 3 Bedrooms | $1,500 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
U.S. Census Bureau data (2024)
ZIP 36750, located in Chilton County, Alabama, can serve as a cash-flow anchor within a Section 8 portfolio strategy. The Fair Market Rent (FMR) for FY 2024 is set at $1020, which is below the market rate of $1140 for the area. This spread allows landlords to maintain positive cash flow while still adhering to the FMR guidelines.
The median home value in ZIP 36750 stands at $179,654, indicating that the overall property values are relatively stable. For landlords and small-portfolio investors, this stability means lower risk of sudden drops in property value and a consistent base of rental income.
Furthermore, the renter share in the area is 18.7%, suggesting a steady demand for rental properties. With a median income of $49,345, tenants are likely to have the financial stability necessary to meet their rental obligations, making this ZIP code an attractive choice for those seeking reliable cash flow.
The lack of specific data on price-cut shares and days on market (DOM) suggests that there isn't significant volatility in the housing market here, which further supports the notion of ZIP 36750 being a stable cash-flow anchor. Landlords can expect a consistent stream of income without the need to frequently adjust rents or deal with prolonged vacancies.
In conclusion, ZIP 36750 offers a solid foundation for a Section 8 portfolio due to its favorable FMR to market rent ratio and stable property values, making it an ideal cash-flow anchor for landlords and small-portfolio investors.
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.