Location: Morgan County, TN | Metro: Morgan County, TN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $840 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,380 |
| 4 Bedrooms | $1,580 |
| 5 Bedrooms | $1,833 |
| 6 Bedrooms | $2,053 |
| 7 Bedrooms | $2,217 |
| 8 Bedrooms | $2,328 |
U.S. Census Bureau data (2024)
The potential pitfalls of investing in Section 8 housing in ZIP code 37719 are significant and should be carefully considered before proceeding. Tenant turnover is a critical issue, especially when comparing the non-disclosed market rent to the $950 Fair Market Rent (FMR) for fiscal year 2024. High turnover rates can lead to increased costs associated with finding new tenants, including advertising expenses and the time required for screening and leasing processes.
Vacancy exposure is another risk factor. The days on market (DOM) figure is not available, which makes it challenging to predict how long properties might remain vacant between tenancies. Vacant units represent lost revenue and increased maintenance costs due to prolonged disuse.
Deferred maintenance is also a concern. With undisclosed typical home values and median incomes, it's difficult to gauge the financial health of the local homeowners. This uncertainty can translate into higher maintenance costs for landlords, as properties may require more frequent repairs and upgrades to meet the standards set by the Housing Choice Voucher program.
However, these risks must be weighed against the fact that ZIP 37719 has a 0.0% renter share, indicating an exceptionally high concentration of homeownership. In other contexts, a high renter density often correlates with a greater demand for rental properties, including those participating in the Section 8 program. While this ZIP code does not follow that pattern, it suggests a unique market where competition for tenants might be lower, potentially leading to a more stable tenant pool.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.