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 | $1,420 |
| 1 Bedroom | $1,480 |
| 2 Bedrooms | $1,610 |
| 3 Bedrooms | $2,070 |
| 4 Bedrooms | $2,510 |
| 5 Bedrooms | $2,912 |
| 6 Bedrooms | $3,261 |
| 7 Bedrooms | $3,522 |
| 8 Bedrooms | $3,698 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,610 | $300,857 | 0.54% | F |
| 3BR | $2,070 | $397,002 | 0.52% | F |
| 4BR | $2,510 | $485,117 | 0.52% | F |
U.S. Census Bureau data (2024)
The potential pitfalls for a Section 8 landlord in ZIP code 37127 in Murfreesboro, TN, are significant. First, tenant turnover is a critical issue. The market rent for properties in this area stands at $1,792, while the Fair Market Rent (FMR) for FY 2024 is set at $1,430. This discrepancy can lead to higher turnover rates as tenants might seek better deals outside the Section 8 program. Additionally, the vacancy exposure is substantial due to the lack of available data on days on market (DOM), which indicates uncertainty regarding how quickly properties can be rented out. Furthermore, there is a notable deferred-maintenance exposure. With an average home value of $422,919 and a median household income of $91,401, it is likely that many landlords will struggle to maintain properties at the level required by the program without additional financial strain.
However, these risks must be weighed against the high demand for rental properties. ZIP 37127 has a 23.4% renter share, indicating a dense population of renters who often rely on vouchers such as Section 8. High renter density usually translates into greater demand for subsidized housing, potentially stabilizing occupancy rates over time.
In conclusion, the overall risk for a first-time Section 8 landlord in ZIP 37127 is moderate.
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.