Location: Wilcox County, AL | Metro: Marengo County, AL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $810 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $920 |
| 3 Bedrooms | $1,220 |
| 4 Bedrooms | $1,290 |
| 5 Bedrooms | $1,496 |
| 6 Bedrooms | $1,676 |
| 7 Bedrooms | $1,810 |
| 8 Bedrooms | $1,901 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 36783, located in Wilcox County, Alabama, reveals several key insights for landlords and small-portfolio investors.
First, let's examine if the rent math works. The Fair Market Rent (FMR) for the area is set at $850 for fiscal year 2026, which is significantly higher than the current market rent of $646 according to the Census ACS. This discrepancy suggests that landlords might face challenges in setting rents at the FMR level without potentially pricing out a substantial portion of the local market.
Second, regarding acquisition affordability, the data presents some limitations. The median home value, days on market (DOM), and percentage of homes with price cuts are all listed as N/A, indicating a lack of comprehensive recent data. This absence makes it difficult to provide a precise assessment of the cost and time associated with acquiring properties in this ZIP code.
Finally, the tenant demand in ZIP 36783 can be quantified. With a total population of 671, the renter share stands at 23.6%. This means approximately 159 individuals are likely seeking rental housing. While the number of potential tenants is relatively small, it still represents a significant portion of the local population, suggesting that there is a steady, albeit limited, demand for rentals.
In conclusion, while the tenant demand in ZIP 36783 is present, the rent math does not favorably align with current market conditions. Landlords aiming to charge the FMR would need to consider the risk of vacancy due to the higher rent compared to what the market currently supports. Additionally, the lack of detailed data on property acquisition makes it challenging to assess the feasibility of buying into this market. Investors should proceed with caution, focusing on properties where they can achieve a balance between market rents and manageable acquisition costs.
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.