Location: McNairy County, TN | Metro: Hardin County, TN
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $820 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,450 | $232,465 | 0.62% | D |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 38357, which is part of the larger metro area, has been set at $1,010 for fiscal year 2026. This figure represents the maximum amount that a landlord can receive from the federal government's Section 8 program for a given unit. It's important to note that this is not the rent you should charge your tenants; it's the payment standard that the government uses to determine how much subsidy they will provide.
To put this into perspective, the average rent for the area, according to recent Census American Community Survey (ACS) data, is $795. This means that if you participate in the Section 8 program, you could potentially receive a higher subsidy than the typical market rate, which might be beneficial if you have recently renovated or upgraded your property.
The demand for rental properties in ZIP 38357 is relatively strong, with 15.1% of the population being renters. This indicates a decent pool of potential tenants who might be interested in your Section 8 rental property. However, the competition for these tenants is also likely to be significant, especially given the current economic climate.
In terms of acquisition costs, the median home value in ZIP 38357 is approximately $188,780. If you're looking to purchase a property for your first Section 8 rental, this gives you an idea of what you might expect to pay. Keep in mind that the actual cost of acquiring a rental property can vary widely depending on its condition and location.
Before proceeding with your first Section 8 rental, one key factor to verify is the physical condition of the property. The Housing Quality Standards (HQS) must be met for the property to qualify for the program. This includes ensuring that the property is safe, healthy, and meets basic structural requirements. It's essential to check that all systems, such as plumbing, heating, and electrical, are in good working order, and that there are no issues with mold, pests, or other health hazards.
In summary, participating in the Section 8 program in ZIP 38357 can offer financial stability through guaranteed subsidies, but it requires meeting certain standards and understanding the local rental market. With a 15.1% renter share, there is a reasonable demand for rental properties, and the FMR of $1,010 provides a benchmark for what you can expect in terms of government payments. Just ensure that the property meets HQS before making your investment.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.