Section 8 Fair Market Rent (FMR) for ZIP 38232 - 2027

Location: Obion County, TN | Metro: Obion County, TN

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$760
1 Bedroom$760
2 Bedrooms$1,000
3 Bedrooms$1,250
4 Bedrooms$1,310
5 Bedrooms$1,520
6 Bedrooms$1,702
7 Bedrooms$1,838
8 Bedrooms$1,930

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
2,238
Median Household Income
$46,272
Housing Units
1,282
Renter Percentage
20.6%
Occupancy Rate
76.6%
Renter Occupied
202

The Fair Market Rent (FMR) for ZIP code 38232 is set at $930 for metro fiscal year 2026. This figure represents the payment standard for Section 8 housing vouchers, meaning that voucher holders can receive assistance up to this amount. It's important to note that this does not mean your rent will be $930; rather, it's the maximum subsidy the government will pay on behalf of eligible tenants.

To put this into perspective, the average rent in ZIP 38232, based on Census ACS data, is $770. This suggests that the FMR is higher than the typical market rate, which could be beneficial for landlords looking to cover costs or even make a modest profit without setting excessively high rents.

The demand for rentals in this area is solid, with 20.6% of residents being renters. This indicates a reasonable portion of the population that could potentially benefit from Section 8 vouchers, ensuring a steady pool of potential tenants. However, it also means competition among landlords for these tenants might exist.

If you're considering acquiring a property in ZIP 38232 for your first Section 8 rental, the median home value is around $161,586. This figure helps gauge the initial investment required for purchasing a rental property in the area. Remember, the actual price of properties can vary widely, so thorough research is essential.

Before proceeding with a Section 8 rental, one critical step is to verify that the property meets all HUD’s Housing Quality Standards (HQS). These standards ensure that the unit is safe, decent, and sanitary for occupancy. A failure to meet these standards can result in non-payment or termination of the lease agreement.

In summary, the FMR of $930 provides a clear benchmark for subsidy payments, which is higher than the local average rent of $770. With a 20.6% renter share, there is a reliable demand for rental properties, making ZIP 38232 a viable option for Section 8 rentals. The median home value of $161,586 gives an idea of the acquisition cost. Ensure your property complies with HQS to avoid any issues with payment or tenant placement.

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.