Location: Morgan County, TN | Metro: Morgan County, TN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $980 |
| 1 Bedroom | $990 |
| 2 Bedrooms | $1,290 |
| 3 Bedrooms | $1,790 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
U.S. Census Bureau data (2024)
The ZIP code 37829, located in Morgan County, TN, can be effectively integrated into a Section 8 portfolio strategy as a cash-flow anchor. This designation is based on the significant spread between the Fair Market Rent (FMR) set by HUD for the fiscal year 2024, which is $980, and the current market rent of $1,092. The difference of $112 per month means that landlords who participate in the Section 8 program for properties in this ZIP code will receive a consistent, government-backed rental income that is below the market rate but still provides a reliable cash flow.
A key factor supporting this strategy is the median home value in ZIP 37829, which stands at $200,990. This figure indicates a relatively affordable housing market, making it easier for landlords to acquire properties without requiring an exorbitant investment. Furthermore, the lower FMR compared to the market rent suggests that there is a strong demand for rental properties in this area, which can be met through Section 8 vouchers.
While the ZIP code does not offer immediate potential as an appreciation play due to the lack of specific data on price-cut shares and days on market (DOM), it does present itself as a solid option for diversification. With 8.4% of the population being renters, and a median income of $90,691, landlords can expect a steady stream of tenants who qualify for Section 8 assistance. This diversification helps mitigate risks associated with economic downturns or changes in local market conditions, as the federal government guarantees the rent payments.
In summary, ZIP 37829 is best suited as a cash-flow anchor within a Section 8 portfolio strategy. The $112 monthly spread between the FMR and market rent ensures a dependable income source, while the median home value and renter share provide additional stability and diversification benefits.
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.