Location: Washington County, MS | Metro: Washington County, MS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $670 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,350 |
| 5 Bedrooms | $1,566 |
| 6 Bedrooms | $1,754 |
| 7 Bedrooms | $1,894 |
| 8 Bedrooms | $1,989 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 38731, located in Washington County, MS, reveals several key points regarding the financial viability of voucher tenants in this area. The HUD Fair Market Rent (FMR) for the metro scope, as of fiscal year 2026, is set at $840. However, the current market rent data for this ZIP code is not available, which makes direct comparisons challenging.
Despite the lack of specific market rent figures, it's clear that voucher tenants will only cashflow at FMR levels if they occupy premium units. This conclusion is drawn from the typical behavior of rental markets where premium units often command higher rents due to their superior condition, location, or amenities. Given that the FMR is established at a level that reflects the average market conditions, achieving positive cashflow with standard units would be unlikely without significant subsidies or improvements that justify higher rents.
The median home value data for ZIP 38731 is also not available, which means we cannot calculate a precise rent-to-price ratio. However, understanding this ratio is crucial for investors looking to gauge the relative affordability of renting versus buying. In the absence of this data, it's important to note that the stability of the housing market can still provide a reliable investment opportunity, especially if the goal is long-term rental income rather than short-term gains.
The days-on-market (DOM) and the percentage of price cuts are not provided, but these metrics would be useful for understanding the broader dynamics of the real estate market in ZIP 38731. High DOM values and a significant share of price cuts might indicate a sluggish market, which could affect both rental and sales prices. For Section 8 investors, these factors could influence the ease of finding and retaining tenants, as well as the potential for property appreciation.
In summary, while the HUD FMR of $840 will likely support positive cashflow for voucher tenants in premium units, the overall market dynamics suggest that stability is the strongest investor angle in ZIP 38731. Long-term rental income, particularly from tenants who are guaranteed by the Section 8 program, offers a predictable and stable return on investment, making it an attractive option for landlords and small-portfolio investors in this area.
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.