Location: Columbus, GA | Metro: Columbus, GA-AL HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $910 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,630 |
| 5 Bedrooms | $1,891 |
| 6 Bedrooms | $2,118 |
| 7 Bedrooms | $2,287 |
| 8 Bedrooms | $2,401 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,400 | $189,366 | 0.74% | D |
| 4BR | $1,630 | $265,913 | 0.61% | D |
| 5BR | $1,891 | $326,871 | 0.58% | F |
U.S. Census Bureau data (2024)
Skeptical investors looking into ZIP 36869 might have several concerns regarding the feasibility of renting properties under the Section 8 program. Let's address these concerns with the available data.
Will FMR $940 (zip FY 2024) cover the mortgage on a $172,070 home?
The Fair Market Rent (FMR) for ZIP 36869 is set at $940 for the fiscal year 2024. To determine if this will cover the mortgage, we must consider the interest rate and term of the loan. Assuming a 30-year fixed-rate mortgage at an average rate of 5%, the monthly payment on a $172,070 home would be approximately $923. This means that the FMR of $940 is sufficient to cover the mortgage payment, leaving a small buffer for maintenance and other costs. However, it's important to note that higher interest rates or different loan terms could impact this calculation.
Is there enough renter demand at 39.8%?
Renter demand in ZIP 36869 is at 39.8%. While this percentage is lower than some areas, it still indicates a significant portion of the population relies on rental housing. The demand for affordable housing remains consistent, even if the overall percentage is not high. It's also worth noting that the Section 8 program attracts tenants who are committed to paying their rent through the voucher system, reducing the risk of non-payment compared to traditional renters.
Will vouchers keep pace with $1,348 market rents?
The market rent in ZIP 36869 is $1,348 per month, which is notably higher than the FMR of $940. The key here is whether the voucher amount will increase to meet the rising market rents. Historically, voucher amounts have been adjusted annually based on HUD guidelines, but there is no guarantee that they will always match market rents. Investors should monitor local HUD adjustments and prepare for potential gaps between the voucher amount and market rents. In some cases, landlords might need to subsidize the difference to remain competitive in the rental market.
In summary, while there are valid concerns about covering mortgages, ensuring renter demand, and keeping up with market rents, the data suggests that ZIP 36869 can support Section 8 investments. The FMR is adequate for mortgage payments, and the tenant commitment through vouchers mitigates risks associated with traditional rentals. However, investors must stay vigilant regarding future adjustments in voucher amounts to align with increasing market rents.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.