Location: Kingsport-Bristol, TN | Metro: Johnson City, TN MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
U.S. Census Bureau data (2024)
The real estate market in ZIP 37694 presents a unique opportunity for both landlords and small-portfolio investors, anchored by a median home value of $244,333. This figure, combined with the lack of significant reductions in listing prices and a stable median days on market (DOM), suggests that the area maintains a strong pricing power over the next 12-24 months. The absence of widespread price cuts indicates a seller's market where homes are likely to retain their value, if not appreciate slightly.
On the rental side, the Federal Market Rent (FMR) for ZIP 37694 in fiscal year 2024 is set at $930, while the current market rate, according to Census ACS data, stands at $755. This gap between the FMR and the actual market rate signals potential for upward pressure on rents. As government programs adjust their subsidies to meet the FMR, landlords may see an increase in the rental income they can command. However, it is important to note that this dynamic does not automatically translate into higher occupancy rates or fewer vacancies, as other factors such as local employment trends also play a role.
For long-term investors, the setup in ZIP 37694 implies a realistic appreciation thesis based on the convergence of the FMR and market rates. Historically, areas with a growing disparity between these two figures have seen gradual increases in property values as the rental market adjusts to higher rates. Additionally, the stable DOM and median home value suggest that the local economy supports housing demand, which can further bolster property values over time. However, the lack of specific percentage data on reduced listings and DOM makes it challenging to quantify the exact rate of appreciation. Instead, the data points to a steady, rather than explosive, growth scenario, suitable for those seeking stable returns over the medium to long term.
In summary, the combination of a median home value of $244,333, stable DOM, and the potential for rent increases due to the FMR adjustment, positions ZIP 37694 as a market with solid fundamentals. Landlords and small-portfolio investors should expect to maintain their pricing power in both the sales and rental markets, leading to a favorable environment for property appreciation and rental income growth.
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.