Location: Union County, MS | Metro: Lafayette County, MS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $950 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,390 |
| 4 Bedrooms | $1,490 |
| 5 Bedrooms | $1,728 |
| 6 Bedrooms | $1,935 |
| 7 Bedrooms | $2,090 |
| 8 Bedrooms | $2,195 |
U.S. Census Bureau data (2024)
To classify ZIP code 38627, we must consider the yield and stability factors based on the provided data. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is $1,170, which sets a benchmark for rental yields. However, the specific market rent for ZIP 38627 is not available, indicating potential variability in actual rental prices. The median home value in the area is $209,186, suggesting a relatively affordable market for investment properties.
Moving to stability indicators, the percentage of renters in ZIP 38627 is 8.8%, which is notably low. This figure implies that the majority of residents in the area own their homes, potentially leading to less demand for rentals. Additionally, the average days on market (DOM) for properties is not provided, making it difficult to assess how quickly properties might be leased. Lastly, the median household income is $62,826, which is an important metric for gauging the financial health of tenants and the overall economic stability of the area.
Based on these figures, ZIP 38627 does not clearly fit into either a high-yield/low-stability flip-style market or a steady-cashflow zone. The FMR suggests decent rental yields, but the low percentage of renters indicates that the market may not sustain high demand for rental properties. Moreover, the median income figure provides some assurance regarding tenant reliability, though without knowing the exact market rent, it's challenging to make a precise determination.
The lack of specific market rent data is critical because it prevents us from directly comparing the FMR against what landlords can realistically expect to charge. If the market rent is significantly lower than the FMR, the yield would decrease, making the area less attractive for rental investments. Conversely, if the market rent aligns closely with the FMR, the area could offer a reasonable yield despite the low renter population.
In summary, ZIP 38627 presents a mixed picture. With a median home value of $209,186 and a median income of $62,826, it offers a moderate level of stability. However, the low renter population and the absence of market rent data suggest that the yield is uncertain. Landlords and small-portfolio investors should proceed with caution, considering additional research into local rental trends and market conditions.
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.