Location: Houston County, TN | Metro: Clarksville, TN-KY HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $990 |
| 1 Bedroom | $990 |
| 2 Bedrooms | $1,220 |
| 3 Bedrooms | $1,690 |
| 4 Bedrooms | $2,040 |
| 5 Bedrooms | $2,366 |
| 6 Bedrooms | $2,650 |
| 7 Bedrooms | $2,862 |
| 8 Bedrooms | $3,005 |
U.S. Census Bureau data (2024)
The median income in ZIP code 37050 stands at $56,927, which presents an interesting scenario when considering the market rate for rent, currently set at $846 according to Census ACS data. This implies that a significant portion of households may struggle to cover the market rent without financial strain, given that the average monthly income for a household would be around $4,744.
To put this into perspective, the Federal Market Rent (FMR) standard for ZIP 37050 in fiscal year 2024 is $890. This means that the government subsidy through housing vouchers is slightly higher than the market rate. However, it also highlights a notable affordability gap for renters who must rely solely on their income to pay rent, as the median income suggests that many households may find it challenging to meet even the market rate of $846 without allocating a substantial portion of their earnings towards housing costs.
With 22.5% of the population being renters and a total population of 1,815, there are approximately 408 rental units occupied in this ZIP code. The competition among landlords is thus influenced by the affordability gap, as it drives some tenants towards seeking subsidized housing options like vouchers. For landlords, this means that while cash-paying tenants might offer immediate liquidity, they could face challenges in attracting and retaining such tenants due to the high cost of living relative to income levels.
The takeaway for landlords considering voucher versus cash-pay strategies is clear: accepting vouchers can provide a steady stream of tenants who are less likely to default on rent payments due to the government subsidy. While vouchers may come with administrative overhead, the guaranteed rent and reduced vacancy rates can outweigh the drawbacks. In contrast, relying solely on cash-paying tenants leaves landlords vulnerable to the economic pressures faced by local households, potentially leading to higher vacancy rates and increased turnover.
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.