Location: Columbus, GA | Metro: Auburn-Opelika, 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 | $1,150 |
| 2 Bedrooms | $1,270 |
| 3 Bedrooms | $1,540 |
| 4 Bedrooms | $1,790 |
| 5 Bedrooms | $2,076 |
| 6 Bedrooms | $2,325 |
| 7 Bedrooms | $2,511 |
| 8 Bedrooms | $2,637 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,540 | $288,209 | 0.53% | F |
| 4BR | $1,790 | $418,717 | 0.43% | F |
U.S. Census Bureau data (2024)
The ZIP code 36874 is located in a suburban area of Mobile, Alabama, characterized by a relatively stable and modestly sized community of 9,096 residents. The neighborhood has a low percentage of renters at just 9.3%, indicating a primarily owner-occupied environment. This is further supported by the median home value of $329,733, which is higher than the national average and suggests a middle-class demographic. The median household income in the area stands at $66,986, reflecting a solid economic foundation where residents can afford decent housing.
Moving into the realm of rental economics, the Fair Market Rent (FMR) for ZIP 36874 in fiscal year 2024 is set at $1,310. This figure is notably higher than the reported market rent of $1,074, based on Census ACS data. This discrepancy indicates that there is potential for increased rental income through Section 8 vouchers, which can help cover the gap between market rates and the higher FMRs set by HUD.
Given these conditions, ZIP 36874 would be a suitable location for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the stable economic indicators and the presence of a reliable government subsidy via Section 8 vouchers provide a predictable and consistent income stream. On the other hand, value-add buyers could capitalize on the opportunity to renovate properties and charge closer to the FMR rate, thereby increasing their profitability while still ensuring affordability for tenants.
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.