Location: Cocke County, TN | Metro: Cocke County, TN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $960 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
U.S. Census Bureau data (2024)
ZIP 37713, located in Cocke County, TN metro, is best suited as a cash-flow anchor within a Section 8 portfolio strategy. The rationale for this classification lies in the significant spread between the Fair Market Rent (FMR) for the area and the median home value.
The FMR for a four-bedroom unit in the Cocke County, TN metro area for fiscal year 2026 is set at $990. This figure represents the maximum rental amount that can be charged under the Section 8 program. In contrast, the median home value in ZIP 37713 stands at $253,714. While there is no direct market rental data available, the disparity between the FMR and the median home value suggests that properties in this ZIP code are likely to be undervalued in terms of their rental potential relative to their purchase cost. This makes ZIP 37713 an attractive option for generating steady, predictable cash flow through the Section 8 program.
Moreover, the high percentage of renters in the area—7.8% of households are renters—indicates a stable demand for rental housing. This renter share, combined with the absence of specific data on price-cut shares and days on market (DOM), which would typically inform an appreciation play strategy, further supports the classification of ZIP 37713 as a cash-flow anchor. Landlords and small-portfolio investors should focus on the guaranteed income provided by the Section 8 program rather than speculative appreciation.
The median household income in ZIP 37713 is $54,000, which aligns well with the income limits set for Section 8 eligibility. This ensures a consistent supply of qualified tenants who can afford the rent but still require assistance, making the ZIP code a reliable component of a diversified investment strategy. By anchoring a portion of their portfolio in ZIP 37713, investors can stabilize their overall returns while leveraging the security of government-backed rental payments.
In summary, ZIP 37713 serves as a strong cash-flow anchor due to its favorable FMR-to-median home value ratio and stable tenant demand, providing landlords and small-portfolio investors with a solid foundation for their Section 8 investments.
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.