Location: Smith County, TN | Metro: Nashville-Davidson--Murfreesboro--Franklin, TN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,120 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,310 |
| 3 Bedrooms | $1,680 |
| 4 Bedrooms | $1,960 |
| 5 Bedrooms | $2,274 |
| 6 Bedrooms | $2,547 |
| 7 Bedrooms | $2,751 |
| 8 Bedrooms | $2,889 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 37057 reveals a market that is moderately positioned on both yield and stability axes. On the yield side, the Federal Market Rent (FMR) for 2024 stands at $1,270, which is notably higher than the market rent of $1,094. This indicates a potential for above-average rental income, assuming landlords can secure tenants willing to pay closer to the FMR. However, the median home value of $295,106 suggests that the area is not cheap to invest in, and the difference between FMR and market rent points to a gap that could be challenging to close without significant property improvements.
Regarding stability, the data paints a mixed picture. The percentage of renters at 10.6% is relatively low, indicating that the majority of residents own their homes, which can contribute to a more stable community environment. However, the lack of information on days on market (DOM) makes it difficult to assess the ease of finding tenants or selling properties quickly if needed. Additionally, the median household income of $78,940 provides some insight into the economic strength of the area but does not directly correlate with tenant reliability or rental demand.
To summarize, ZIP 37057 leans towards a steady-cashflow zone rather than a high-yield/low-stability flip-style market. The higher FMR compared to market rent suggests opportunities for good returns, but the low percentage of renters and the substantial median home value imply a preference for homeownership and a potentially slower-moving rental market. Landlords and small-portfolio investors should expect moderate yields and focus on long-term, stable investments in this area.
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.