Location: Tallahatchie County, MS | Metro: Tallahatchie County, MS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,120 |
| 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 for ZIP code 38962 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area as of fiscal year 2026 is set at $840, while the current market rent data is unavailable, indicated by N/A. This absence of market rent figures suggests that the FMR may be higher than the prevailing rents in the area, making it a potential yield play for landlords and small-portfolio investors.
In ZIP 38962, only 0.0% of residents are classified as renters, which points to a predominantly owner-occupied community. The median home value and median income are also marked as N/A, indicating a lack of comprehensive data on these economic indicators. However, given the high FMR relative to the unknown but presumably lower market rent, landlords can attract voucher tenants who will pay the FMR rate. This scenario allows property owners to secure a steady stream of rental income at a rate above what they might otherwise receive in an open-market setting.
The cost of housing voucher tenants below open-market rates is minimal when the FMR exceeds the market rent. In such cases, landlords benefit from guaranteed payments through the voucher program without having to compete on price with other properties. This makes ZIP 38962 a favorable location for those interested in leveraging the Section 8 program to achieve higher yields compared to the local rental market.
To summarize, the explicit gap between the FMR and the likely lower market rent in ZIP 38962 presents an opportunity for landlords to capitalize on the Section 8 program. With voucher tenants paying $840 per month, landlords can expect to earn a premium over typical rental rates, enhancing their investment returns.
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.