Location: Choctaw County, AL | Metro: Choctaw County, AL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $850 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,540 |
| 5 Bedrooms | $1,786 |
| 6 Bedrooms | $2,000 |
| 7 Bedrooms | $2,160 |
| 8 Bedrooms | $2,268 |
U.S. Census Bureau data (2024)
The ZIP code 36916 presents a challenging environment for renters and landlords alike. With a median income of $29,483, households struggle to meet the market rate rent of $385 per month, according to the latest Census ACS data. This financial strain is further exacerbated when compared to the Federal Market Rate (FMR) of $850 per month set for metro areas in fiscal year 2026.
The disparity between the median income and the market rate suggests a significant affordability gap. Renters in this area might find it difficult to cover their monthly housing costs without assistance. This situation impacts the local rental market where only 26.8% of the 652 residents are renters. The limited number of potential tenants means landlords face stiff competition to fill vacancies.
In this context, landlords must carefully consider their tenant selection strategies. Accepting Section 8 vouchers could provide a steady stream of income, especially given the high FMR compared to the median income. However, landlords should also weigh the benefits of cash-paying tenants who may offer less paperwork and greater flexibility. The decision hinges on balancing the security of guaranteed payments against the operational complexities and administrative requirements associated with voucher programs.
The takeaway for landlords is clear: while the voucher program offers a reliable tenant pool, the low median income and high FMR indicate a need for strategic planning. Landlords must evaluate the trade-offs between voucher and cash-paying tenants based on their individual property management goals and the local economic conditions. In an area where affordability is a concern, having a mix of both types of tenants could be the most prudent approach to ensure stable occupancy and income.
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.