Location: Carroll County, MS | Metro: Holmes County, MS HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,490 |
| 5 Bedrooms | $1,728 |
| 6 Bedrooms | $1,935 |
| 7 Bedrooms | $2,090 |
| 8 Bedrooms | $2,195 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $910 | $74,094 | 1.23% | A |
| 3BR | $1,250 | $107,571 | 1.16% | B |
| 4BR | $1,490 | $158,532 | 0.94% | C |
U.S. Census Bureau data (2024)
ZIP code 39095, located in Lexington, Mississippi, stands out within Holmes County due to its unique demographic and economic characteristics. With a population of 6,726 residents, 37.0% of whom are renters, the median income is reported at $43,077. The median home value in this area is notably higher at $91,235, reflecting a mix of affordability and value for homeowners.
The dynamics of rental housing in ZIP 39095 are significantly influenced by the disparity between the Fair Market Rent (FMR) set by the government and the actual market rent. For fiscal year 2024, the FMR is established at $900, whereas the Census American Community Survey (ACS) indicates that the average market rent is $658. This gap means that landlords participating in the Section 8 program can expect to receive a subsidy that brings their rental rates closer to the FMR, thereby providing a more stable income stream compared to the local market rates.
The data suggests that ZIP 39095 presents a stable environment for landlords and small-portfolio investors interested in the Section 8 program. The significant difference between the FMR and the market rent provides an incentive for property owners to participate in the program, ensuring that they receive a higher rate than the typical market conditions. Additionally, the relatively high median home value indicates a certain level of investment in the area, which could contribute to ongoing stability and possibly gradual appreciation in property values over time. However, the overall economic indicators, including the median income, suggest that the area may also be somewhat transitional, with potential for growth but still facing challenges typical of rural areas. For investors, the stability offered by the Section 8 program, combined with the potential for modest growth, makes ZIP 39095 an attractive option for those looking to secure steady returns while supporting affordable housing.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.