Location: Putnam County, TN | Metro: DeKalb 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 | $800 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,490 |
| 4 Bedrooms | $1,570 |
| 5 Bedrooms | $1,821 |
| 6 Bedrooms | $2,040 |
| 7 Bedrooms | $2,203 |
| 8 Bedrooms | $2,313 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,490 | $324,659 | 0.46% | F |
U.S. Census Bureau data (2024)
The ZIP code 38544 has a population of 8,175 residents, with 21.2% being renters. This indicates that while there is a significant portion of the population renting, it is not overwhelmingly dominated by renters. The median household income stands at $69,823, which provides a solid baseline for understanding the economic context of potential tenants.
In terms of Section 8 voucher demand, the connection between the median income and the market rent of $955 per month is crucial. Rent constitutes approximately 13.7% of the median household income, calculated by dividing the monthly rent by the annual income and multiplying by 100. This percentage suggests that the majority of residents can afford the market rent without assistance, but there remains a notable segment of the population that might rely on vouchers.
The Fair Market Rent (FMR) for the area is $960, very close to the market rent. This figure, set for FY 2026 and reflective of the metro area, aligns well with current market conditions, indicating that the rental prices in ZIP 38544 are in line with what is considered fair and reasonable by federal standards.
A landlord in ZIP 38544 should expect a mix of tenants. Many will be able to pay market rent without assistance due to the relatively high median income compared to the rent. However, given the presence of renters and the proximity of market rents to the FMR, some tenants may require or prefer using Section 8 vouchers. The demand for vouchers is present but not overwhelming, making it a balanced opportunity for landlords who are willing to participate in the program.
To summarize, ZIP 38544 is neither heavily dominated by homeowners nor renters, but rather a middle ground. The typical rent eats up about 13.7% of the local income, a manageable amount for most households. The close alignment of market rents with the FMR suggests stable pricing, and landlords should anticipate a diverse tenant pool, including some who use Section 8 vouchers.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.