Location: Gibson County, TN | Metro: Jackson, TN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $980 |
| 1 Bedroom | $1,070 |
| 2 Bedrooms | $1,400 |
| 3 Bedrooms | $1,920 |
| 4 Bedrooms | $2,180 |
| 5 Bedrooms | $2,529 |
| 6 Bedrooms | $2,832 |
| 7 Bedrooms | $3,059 |
| 8 Bedrooms | $3,212 |
U.S. Census Bureau data (2024)
The investment risk assessment for ZIP 38355 reveals several challenges that landlords and small-portfolio investors should be aware of before engaging with Section 8 properties. Tenant turnover poses a significant risk, as the market rent stands at $1,248, while the Fair Market Rent (FMR) for FY 2024 is set at $1,150. This discrepancy can lead to higher turnover rates among tenants who may struggle to meet the market rent, impacting the stability and profitability of your property.
Vacancy exposure is another concern, given that the Days on Market (DOM) data is currently unavailable. However, it's important to note that the typical home value in ZIP 38355 is $321,831, which is relatively high compared to the median income of $108,982. This disparity suggests that many potential renters might find it challenging to secure housing outside of subsidized programs, increasing the likelihood of vacancies if your property is not part of such programs.
Deferred maintenance is also a risk factor. The median income figure indicates that many residents may have limited financial resources to cover unexpected repairs and maintenance costs, which could result in delays or skipped necessary improvements. This could affect the overall condition and value of the property over time.
Despite these risks, the high renter density in ZIP 38355, with 14.6% of the population being renters, generally translates into a strong demand for rental housing. This increased demand often correlates with higher interest in Section 8 vouchers, potentially stabilizing the tenant base and reducing the risk of long-term vacancies.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.