Location: Tallapoosa County, AL | Metro: Auburn-Opelika, AL HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $970 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
U.S. Census Bureau data (2024)
ZIP code 36850, located within the Tallapoosa County, AL metro area, exhibits distinct characteristics when compared against typical ZIP codes in the county. The Fair Market Rent (FMR) for ZIP 36850 stands at $900 for fiscal year 2024, which is notably higher than the market rent figure of $633. This indicates that the rental prices supported by government subsidies in this area exceed the average rental rates.
The median home value in ZIP 36850 is $116,217, which is lower than what might be expected for a ZIP code with such a high FMR. Additionally, the renter share in this ZIP code is 20.6%, suggesting a significant portion of residents rely on rental housing. These factors combined suggest that ZIP 36850 could represent a valuable opportunity for landlords and small-portfolio investors interested in Section 8 properties. The higher FMR coupled with below-average home values and a notable renter population indicate a potential sweet spot for subsidized housing investments.
To further contextualize, let's consider how these figures align with broader trends in Tallapoosa County. A higher FMR relative to market rent typically means greater financial stability for landlords participating in the Section 8 program, as tenants receive assistance to cover rents that are above the local average. Meanwhile, the lower home values in ZIP 36850 compared to the county average can make property acquisition more affordable, thus potentially increasing profit margins for investors.
However, it's important to note that while the data points to ZIP 36850 being a favorable location for Section 8 investments, they do not provide a complete picture of the market dynamics. Additional considerations, such as vacancy rates, tenant demand, and local economic conditions, should also be evaluated before making investment decisions.
In summary, based on the provided data, ZIP 36850 appears to be a value pocket within the Tallapoosa County, AL metro, offering opportunities for landlords and investors due to its high FMR and relatively low home values alongside a substantial renter share.
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.