Location: Marshall County, TN | Metro: Bedford County, TN
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 | $1,140 |
| 1 Bedroom | $1,170 |
| 2 Bedrooms | $1,500 |
| 3 Bedrooms | $2,000 |
| 4 Bedrooms | $2,060 |
| 5 Bedrooms | $2,390 |
| 6 Bedrooms | $2,677 |
| 7 Bedrooms | $2,891 |
| 8 Bedrooms | $3,036 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,000 | $387,254 | 0.52% | F |
| 4BR | $2,060 | $421,039 | 0.49% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 37034, located in Marshall County, TN metro, reveals several key points that are crucial for landlords and small-portfolio investors. Firstly, regarding the rent math, the Federal Market Rent (FMR) for fiscal year 2026 is set at $1,400. This figure is slightly above the current market rent of $1,345 as reported by the Census Bureau's American Community Survey (ACS). The difference suggests that while landlords can aim for slightly higher rents, they should be cautious about setting rates too far above the market average.
In terms of acquisition affordability, the median home value in ZIP 37034 is $391,590. With no available data on days on market (DOM) and a low 0.3% share of homes experiencing price cuts, it indicates that the housing market is relatively stable. However, the high median home value might pose challenges for investors looking to acquire properties at lower costs. They should consider alternative strategies such as fix-and-flip projects or targeting specific neighborhoods within the ZIP code where values might be more favorable.
Concerning tenant demand, the ZIP code has a population of 8,867, with 15.2% of residents being renters. This share translates to approximately 1,347 potential tenants. Given the size of the local rental market, landlords can expect a steady but not overwhelming demand for rental units. It is advisable to focus on providing quality housing to attract and retain tenants, especially considering the slight premium landlords can charge over the current market rent.
Verdict: The rent math in ZIP 37034 works with a modest margin for landlords, who can set rents at the FMR level. Acquisition is challenging due to the high median home value, necessitating strategic property selection. Tenant demand is present but limited, suggesting a need for quality offerings to stand out in the market. Overall, ZIP 37034 presents opportunities for investors willing to navigate its specific conditions carefully.
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.