Location: Tate County, MS | Metro: Memphis, TN-MS-AR HUD Metro FMR Area
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 | $1,120 |
| 1 Bedroom | $1,220 |
| 2 Bedrooms | $1,330 |
| 3 Bedrooms | $1,760 |
| 4 Bedrooms | $2,020 |
| 5 Bedrooms | $2,343 |
| 6 Bedrooms | $2,624 |
| 7 Bedrooms | $2,834 |
| 8 Bedrooms | $2,976 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,330 | $207,408 | 0.64% | D |
| 3BR | $1,760 | $298,882 | 0.59% | F |
| 4BR | $2,020 | $397,510 | 0.51% | F |
| 5BR | $2,343 | $477,657 | 0.49% | F |
U.S. Census Bureau data (2024)
1390 is the Fair Market Rent (FMR) for ZIP code 38632 in Hernando, MS, for fiscal year 2024. This figure represents the maximum amount that a landlord can charge for a Section 8 rental unit. In contrast, the market rent, known as ZORI, stands at 2186, indicating that landlords could potentially earn significantly more through market-rate rentals. The median home value in the area is 344872, which suggests a relatively stable housing market. Renter share in the region is 11.8%, showing a modest demand for rental properties. Median income for residents is 93583, providing insight into the financial capabilities of potential tenants. The Days on Market (DOM) statistic for the area is 44 days, reflecting an average time for homes to sell before becoming rental units. Price-cut share is a mere 0.2%, suggesting that property values are holding steady without much need for price adjustments. Given these figures, the conclusion for Section 8 participation in Hernando, MS, is clear: while it provides a guaranteed income source, landlords might find higher returns in the competitive market-rate rental sector.
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.