Section 8 Fair Market Rent (FMR) for ZIP 37721 - 2027

Location: Knoxville, TN | Metro: Knoxville, TN HUD Metro FMR Area

Investment Score for ZIP 37721

F
Monthly Rent (2BR)
$1,250
Median Price (2BR)
$236,080
1% Rule
0.53%
Annual Yield
6.35%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,010
1 Bedroom$1,020
2 Bedrooms$1,250
3 Bedrooms$1,610
4 Bedrooms$1,880
5 Bedrooms$2,181
6 Bedrooms$2,443
7 Bedrooms$2,638
8 Bedrooms$2,770

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,250 $236,080 0.53% F
3BR $1,610 $336,805 0.48% F
4BR $1,880 $426,274 0.44% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
14,306
Median Household Income
$64,892
Housing Units
5,886
Renter Percentage
17.7%
Occupancy Rate
94.6%
Renter Occupied
985

With a Fair Market Rent (FMR) set at $1310 for ZIP 37721 (Corryton, TN), landlords should take note that this reflects the maximum amount eligible for Section 8 vouchers in the area. Meanwhile, the Zillow Observed Rent Index (ZORI) stands at $1,969, indicating that the average market rent is significantly higher, suggesting strong demand for rental properties. The median home value in Corryton is $328,038, which provides a solid foundation for property investments, given the area's established housing stock.

The renter share in Corryton is 17.7%, showing that nearly one in five residents rely on renting their homes. Coupled with a median income of $64,892, this points to a segment of the population that could benefit from affordable housing options provided through the Section 8 program. The days on market (DOM) for properties is 25 days, demonstrating a relatively quick turnover rate for listings, which can be advantageous for landlords looking to manage their properties efficiently.

Furthermore, the price-cut share of 0.2% indicates that very few properties require price adjustments, a positive sign for maintaining rental rates without frequent concessions. This data paints a picture of a stable and slightly growing rental market, where Section 8 properties can fill a niche for those who cannot afford the average market rent.

In conclusion, while the market rent is higher at $1,969 compared to the $1310 FMR, the combination of a median home value of $328,038 and a median income of $64,892 suggests that there is both an opportunity and a need for affordable rental units. With a low price-cut share of 0.2% and a DOM of 25 days, landlords can expect a steady flow of tenants and maintain competitive pricing without significant adjustments. For small-portfolio investors, Corryton offers a balanced environment where Section 8 properties can be a valuable addition to their portfolio.

Verdict: Section 8 properties are a viable investment option in Corryton, TN.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.