Location: Lafayette County, MS | Metro: Marshall County, MS HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $950 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,390 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
U.S. Census Bureau data (2024)
To integrate ZIP 38685 into a Section 8 portfolio strategy, consider it primarily as a cash-flow anchor. The Fixed Monthly Rent (FMR) for ZIP 38685 in fiscal year 2024 is set at $980. While the market rent is currently not available, the median home value stands at $192,550. Given the lack of market rent data, we can infer that the FMR is likely lower than what the market would command, thereby providing a steady, predictable source of income.
The low FMR relative to the median home value suggests that properties in ZIP 38685 will not generate high rental yields compared to market rates, but they offer stability. This makes them ideal for anchoring a portfolio's cash flow. Landlords and small-portfolio investors can rely on consistent payments from tenants participating in the Section 8 program, reducing the risk of vacancy and delinquency.
ZIP 38685 also serves as a diversifier within a broader investment strategy. With a 4.9% renter share, the area has a relatively low proportion of renters, indicating that the majority of residents own their homes. However, the median income of $41,210 aligns well with the income eligibility requirements for Section 8 housing, making it a suitable location for such investments.
While there isn't enough data to categorize ZIP 38685 as an appreciation play, given the lack of percentage price cut share and days on market (DOM), focusing on it as a cash-flow anchor provides a solid foundation for your investment portfolio. It ensures that you have a dependable revenue stream from properties where tenants' rents are subsidized, which can be particularly beneficial during economic downturns when other investments might struggle.
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.