Location: Holmes 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 | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,250 | $95,719 | 1.31% | A |
U.S. Census Bureau data (2024)
The ZIP code 39169 is situated in a small-town neighborhood characterized by a modest population of 2,565 residents. Approximately 45.8% of these residents are renters, indicating a significant portion of the community relies on rental housing. The median income in this area is $36,231, which is relatively low compared to national averages. This economic profile is further reflected in the median home value of $66,328, suggesting an affordable housing market.
When it comes to rent economics, the disparity between the Fair Market Rent (FMR) and the actual market rent is noteworthy. For fiscal year 2024, the FMR for ZIP 39169 is set at $900, while the Census ACS data indicates a market rent of $538. This gap presents a unique opportunity for investors interested in Section 8 properties, as they can potentially command higher rents than the local market average through the voucher program.
The question of whether this ZIP code is better suited for a hands-off voucher operator or a hands-on value-add buyer hinges on the investment strategy. Given the economic conditions and the significant difference between FMR and market rent, a hands-off voucher operator could find success in maintaining properties at the FMR level without extensive management efforts. However, for a hands-on value-add buyer, there might be opportunities to improve property values and rents by enhancing the quality of the units beyond the basic requirements, thus attracting tenants willing to pay closer to the FMR rates.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.