Location: Simpson County, MS | Metro: Simpson County, MS HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
U.S. Census Bureau data (2024)
The ZIP code 39062 stands out due to its unique demographic composition, comprising only 437 residents. A significant portion, 41.7%, of these residents rent their homes, indicating a notable rental market presence despite the small population size. The median income in this area is $32,292, which is relatively low compared to national averages, but it provides insight into the economic conditions of the community.
The lack of a reported median home value suggests that the housing stock in ZIP 39062 might be predominantly rentals or have a highly varied mix of property types and values. This variability can present both opportunities and challenges for landlords and small-portfolio investors. For instance, the Federal Market Rent (FMR) for Section 8 vouchers in ZIP 39062 for fiscal year 2024 is set at $900, while the current market rate based on Census ACS data is $835. This means that landlords participating in the Section 8 program can expect to receive a higher rent per unit than the average market rate, potentially offsetting some of the administrative burdens associated with the program.
The gap between the FMR and the market rate highlights the economic viability of Section 8 properties in this ZIP code. Landlords can leverage this difference to ensure stable cash flows and maintain competitive occupancy rates. However, it's important to note that the participation in such programs requires adherence to federal guidelines, which can include regular inspections and maintenance standards.
Given the data signature, ZIP 39062 appears to be in a transitional phase. The slight increase in the FMR over the market rate could indicate an evolving rental market where government assistance plays a crucial role in affordability. As the rental market adjusts to these dynamics, it's likely that the overall stability of the ZIP code will depend on how effectively landlords manage their properties and comply with Section 8 requirements.
For small-portfolio investors, this ZIP code presents an opportunity to diversify their investment portfolio with properties that benefit from guaranteed rental income through the Section 8 program. However, they must be prepared for the ongoing management and compliance needs associated with subsidized housing. The economic environment, characterized by a low median income, also underscores the importance of maintaining affordable housing options for residents.
In summary, ZIP 39062 offers a niche market for real estate investments, particularly in the context of Section 8 vouchers, with a clear economic advantage for landlords willing to engage with the program. Its transitional nature suggests potential for growth and change, making it a dynamic area for those looking to invest in affordable housing solutions.
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.