Location: Nashville-Davidson--Murfreesboro--Franklin, TN | Metro: Nashville-Davidson--Murfreesboro--Franklin, TN 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 | $2,200 |
| 1 Bedroom | $2,290 |
| 2 Bedrooms | $2,500 |
| 3 Bedrooms | $3,210 |
| 4 Bedrooms | $3,890 |
| 5 Bedrooms | $4,512 |
| 6 Bedrooms | $5,053 |
| 7 Bedrooms | $5,457 |
| 8 Bedrooms | $5,730 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,500 | $360,475 | 0.69% | D |
| 3BR | $3,210 | $605,811 | 0.53% | F |
| 4BR | $3,890 | $1,201,756 | 0.32% | F |
| 5BR | $4,512 | $1,953,517 | 0.23% | F |
U.S. Census Bureau data (2024)
Brentwood, ZIP code 37027, is characterized as an affluent suburban enclave within Williamson County, distinguished by sprawling executive estates and meticulously planned commercial districts. Known locally for its high quality of life, the area features extensive green spaces like the Crockett Park trail system and a strong emphasis on privacy and low-density development. The local economy is robust, underpinned by the presence of major corporate operations such as the healthcare company Tractor Supply Company, whose headquarters contributes significantly to the area’s high-income employment base.
From an investment perspective, the numbers reveal a challenging spread for voucher strategies. The FY2026 Full FMR for a 2-bedroom unit is set at $2,440, yet current market rent data (Zillow ZORI) sits at $2,098, creating a gap of $342 where the HUD payment exceeds the market rate. While this suggests immediate cash flow potential on paper, the barrier to entry is steep, with a median home value of $1,222,844. Properties are moving slowly, evidenced by a median of 98 days on market, indicating that despite the income premium, inventory is sticky.
The tenant pool here is exceptionally small, with only 17.9% of households renting. This low renter share, combined with a median household income of $154,578, implies a population that predominantly owns rather than rents, limiting the traditional volume of Section 8 applicants. However, the demand that does exist is bolstered by top-tier public schools, consistently rated among the best in Tennessee, which creates a stable environment for families who do require housing assistance and want access to premium education.
The Section 8 verdict for Brentwood 37027 is that this is a pure play on appreciation and asset stability rather than volume-based cash flow. The disparity between the high cost of entry ($1.22M median value) and the modest rent premium suggests that investors should not rely on high tenant turnover. Instead, the strongest angle is acquiring a scarce rental asset in a wealthy, high-demand school district, leveraging the $342 FMR cushion to ensure coverage against vacancies, while banking on the long-term security of Williamson County real estate.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.