Section 8 Fair Market Rent (FMR) for ZIP 37915 - 2027

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

Investment Score for ZIP 37915

Monthly Rent (2BR)

$1,200

Median Price (2BR)

$162,918

1% Rule

0.74%

Annual Yield

8.84%

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	$950
1 Bedroom	$960
2 Bedrooms	$1,200
3 Bedrooms	$1,500
4 Bedrooms	$1,730
5 Bedrooms	$2,007
6 Bedrooms	$2,248
7 Bedrooms	$2,428
8 Bedrooms	$2,549

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	$1,200	$162,918	0.74%	D
3BR	$1,500	$215,611	0.7%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

5,991

Median Household Income

$26,379

Housing Units

4,084

Renter Percentage

74.4%

Occupancy Rate

81.0%

Renter Occupied

2,464

The ZIP code 37915, located in Knoxville, Tennessee, offers a blend of urban convenience and suburban comfort. This area is characterized by its diverse population and access to local amenities, making it an attractive location for both renters and homeowners.

The Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 37915 for fiscal year 2024 is set at $1050. This figure represents the maximum amount that a low-income household can be expected to pay for housing under the Section 8 program.
The market rent, as measured by the Zillow Observed Rental Index (ZORI), stands at $1,949 for a typical rental unit in this ZIP code. This indicates that market rates are significantly higher than the FMR, offering potential opportunities for landlords.
The median home value in ZIP 37915 is $205,365, reflecting the overall affordability of the housing market in this region.
Renters make up a substantial portion of the population in this area, with a renter share of 74.4%. This high percentage suggests strong demand for rental properties among residents.
The median income for households in ZIP 37915 is $26,379, which is below the national average. This could impact the ability of some residents to afford market-rate rents, potentially increasing reliance on Section 8 vouchers.
Note that the days on market (DOM) data is currently not available for this ZIP code, which means we cannot provide insights into how quickly properties are being rented out.

Given the high renter share and the disparity between the FMR and market rent, landlords and small-portfolio investors should focus on properties that qualify for Section 8 subsidies. The median home value also indicates that the area is relatively affordable, which can attract first-time buyers and renters alike. However, the lower median income might necessitate careful tenant selection to ensure financial stability. Overall, while there is strong demand for rentals, investors must balance this with the economic realities of the area to maximize returns.

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.