Location: Smith County, 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 | $1,500 |
| 1 Bedroom | $1,560 |
| 2 Bedrooms | $1,700 |
| 3 Bedrooms | $2,180 |
| 4 Bedrooms | $2,640 |
| 5 Bedrooms | $3,062 |
| 6 Bedrooms | $3,429 |
| 7 Bedrooms | $3,703 |
| 8 Bedrooms | $3,888 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,700 | $407,595 | 0.42% | F |
| 3BR | $2,180 | $412,107 | 0.53% | F |
| 4BR | $2,640 | $537,322 | 0.49% | F |
U.S. Census Bureau data (2024)
1560 is the Fair Market Rent (FMR) for ZIP code 37090, Lebanon, TN, as of fiscal year 2024. This figure represents the maximum amount landlords can charge tenants participating in the Section 8 program. In comparison, the market rent, measured by ZORI, stands at 1630, indicating a slight premium over the subsidized rate. The median home value in the area is 455885, reflecting a moderate cost of living relative to other parts of Tennessee. With a 26.2% share of renters in the population, there is a notable demand for rental properties. However, the median income of 84299 suggests that many residents may rely on assistance programs like Section 8 to afford housing. Despite this, the day DOM (days on market) is listed as N/A, which could imply either a robust market with quick turnover or a lack of recent data. The price-cut share is a mere 0.2%, suggesting that property values remain stable and landlords rarely need to reduce their asking prices. Given these metrics, it's evident that Lebanon, TN offers a balanced opportunity for landlords and small-portfolio investors, particularly those willing to participate in the Section 8 program to cater to the local renter demographic. The verdict on Section 8 participation in ZIP 37090 is positive, with a stable market and a significant portion of potential tenants who would benefit from the support.
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.