Section 8 Fair Market Rent (FMR) for ZIP 39218 - 2027

Location: Jackson, MS | Metro: Jackson, MS HUD Metro FMR Area

Investment Score for ZIP 39218

Monthly Rent (2BR)

$1,330

Median Price (2BR)

$147,853

1% Rule

0.9%

Annual Yield

10.79%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,130
1 Bedroom	$1,140
2 Bedrooms	$1,330
3 Bedrooms	$1,580
4 Bedrooms	$1,750
5 Bedrooms	$2,030
6 Bedrooms	$2,274
7 Bedrooms	$2,456
8 Bedrooms	$2,579

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
2BR	$1,330	$147,853	0.9%	C
3BR	$1,580	$217,958	0.72%	D
4BR	$1,750	$315,429	0.55%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

6,873

Median Household Income

$65,327

Housing Units

2,889

Renter Percentage

28.5%

Occupancy Rate

93.3%

Renter Occupied

768

A landlord considering investing in ZIP code 39218 (Richland, MS) for Section 8 properties must follow a decision tree based on financial metrics and market conditions.

Step 1: Does the Fair Market Rent (FMR) of $1210 cover the debt service on a property valued at $218,117?

Yes. If the property's debt service is lower than $1210 per month, then the FMR clears the debt service, making it financially viable. For instance, if the mortgage payment plus utilities does not exceed $1210, the landlord can proceed to the next step.
No. If the debt service exceeds $1210, purchasing a property in this area for Section 8 purposes would result in monthly losses, which is not advisable.

Step 2: Compare the market rent of $1,185 against the FMR.

Market rent is below FMR. At $1,185, the market rent is less than the FMR of $1210, indicating that landlords could potentially charge slightly higher rents under Section 8 without losing tenants to the private market.
Market rent is equal to or above FMR. This scenario does not apply since the market rent is below the FMR. However, if the market rent were higher, it would suggest that landlords might struggle to compete with the private rental market, even with Section 8 subsidies.

Step 3: Assess the rental demand. The zip code has 28.5% of its population renting, but the Days on Market (DOM) data is not available. This makes it challenging to gauge how quickly properties can be rented out.

It depends. With 28.5% of residents renting, there is significant demand for rental housing. However, without DOM data, we cannot determine how long it takes to lease a property. If the DOM is low, indicating quick leasing, this supports the viability of the investment. Conversely, high DOM values would suggest difficulties in finding tenants, even with the rental rate being supported by Section 8.

To conclude, if the landlord's debt service is covered by the FMR and the market rent is below the FMR, the purchase is likely to be profitable. However, the lack of DOM data means that the landlord must independently verify the speed of leasing in Richland, MS, before making a final decision. This verification is crucial as it directly impacts the cash flow and profitability of the investment.

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.