Location: Lafayette County, MS | Metro: Lafayette County, MS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $950 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 38949 in Lafayette County, Mississippi, reveals several key points regarding its viability for Section 8 real-estate investment.
The rent math does not work in favor of Section 8 properties. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,170. However, the lack of specific market rent data means we cannot directly compare these figures. If the local market rent is higher, landlords might find it challenging to cover costs solely through Section 8 payments.
Acquisition of properties in ZIP 38949 is not affordable based on the available data. With no specific median home value provided, we cannot determine if the property prices are within a reasonable range for potential returns. Additionally, the absence of days on market (DOM) and percentage of homes needing price cuts further complicates the assessment of property affordability. These missing metrics are crucial for understanding the local housing market dynamics and making informed investment decisions.
Tenant demand is present but limited. The ZIP code has a population of 287, with 15.6% being renters. This indicates that while there are some tenants looking for rental properties, the overall number is small, which could affect the pool of potential Section 8 applicants. Given the small population, any significant changes in the local economy could disproportionately impact the availability of qualified tenants.
In conclusion, ZIP 38949 presents a challenging environment for Section 8 investments due to the uncertainty around rent math and the affordability of acquisitions. The limited tenant demand suggests that landlords should proceed with caution, focusing on areas where more comprehensive data is available to support their investment strategies. Without concrete market rent and property cost figures, the risks outweigh the benefits for most investors.
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.