Location: Hardeman County, TN | Metro: Hardeman County, TN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,340 |
| 4 Bedrooms | $1,380 |
| 5 Bedrooms | $1,601 |
| 6 Bedrooms | $1,793 |
| 7 Bedrooms | $1,936 |
| 8 Bedrooms | $2,033 |
U.S. Census Bureau data (2024)
The ZIP code 38381 is situated in a neighborhood characterized by a relatively small population of 1,490 residents, where 17.0% of the households are renters. The median household income stands at $51,313, which places it squarely in the middle-income bracket, while the median home value is notably higher at $186,368. This suggests a community that is stable and moderately affluent, with homeownership being a significant aspect of the local housing market.
Turning to the economic realities of renting in this area, the Fair Market Rent (FMR) set by HUD for the metro area for fiscal year 2026 is $930. In contrast, the actual market rent as reported by the Census Bureau's American Community Survey is $682. This discrepancy indicates that there is potential for rental properties in ZIP 38381 to increase their rents closer to the FMR without significantly impacting occupancy rates, given the area's median income level.
The question then becomes whether this environment suits a hands-off voucher operator or requires a more active, value-add approach. Given the low percentage of renters and the disparity between the FMR and the current market rent, a hands-on strategy would likely yield better returns. Landlords and small-portfolio investors should consider renovating properties to command rents closer to the FMR, thereby maximizing their investment potential. Moreover, the relatively high median home value suggests that there is a market for quality improvements, making value-add investments particularly attractive in this ZIP code.
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.