Location: Memphis, TN | Metro: Memphis, TN-MS-AR HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,640 |
| 1 Bedroom | $1,780 |
| 2 Bedrooms | $1,950 |
| 3 Bedrooms | $2,570 |
| 4 Bedrooms | $2,970 |
| 5 Bedrooms | $3,445 |
| 6 Bedrooms | $3,858 |
| 7 Bedrooms | $4,167 |
| 8 Bedrooms | $4,375 |
U.S. Census Bureau data (2024)
According to the data for ZIP 38139 in Germantown, TN, the Fair Market Rent (FMR) for Section 8 housing in fiscal year 2024 is set at $1950. This figure represents the maximum amount that landlords can charge for a voucher tenant, making it a critical benchmark for rental pricing strategies. In contrast, the Census ACS reports a market rent of $2,697, indicating that properties outside the Section 8 program command higher rents. The median home value stands at $590,466, reflecting a relatively stable housing market. However, only 2.8% of residents are renters, suggesting a predominantly owner-occupied community. The median household income of $178,661 provides insight into the economic conditions of the area, where landlords might find a competitive advantage in offering affordable rental options. Rental listings typically remain on the market for 35 days before securing a tenant, which is a standard duration and does not indicate an unusually difficult leasing environment. Furthermore, the price-cut share is a modest 0.3%, implying that landlords rarely need to reduce their asking prices to attract tenants. Given these figures, the verdict on Section 8 participation in Germantown, TN, is that while it offers a steady income stream at a fixed rate of $1950, the market conditions suggest that landlords could potentially achieve higher returns by renting at market rates, especially considering the high median income and home values.
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.