Location: Lauderdale County, MS | Metro: Lauderdale County, MS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,070 |
| 1 Bedroom | $1,090 |
| 2 Bedrooms | $1,220 |
| 3 Bedrooms | $1,610 |
| 4 Bedrooms | $1,610 |
| 5 Bedrooms | $1,868 |
| 6 Bedrooms | $2,092 |
| 7 Bedrooms | $2,259 |
| 8 Bedrooms | $2,372 |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 39309 are governed by the SAFMR (Small Area Fair Market Rent) which is set specifically for this ZIP. For a two-bedroom apartment, the SAFMR for FY 2026 is $1,070. This figure represents the maximum amount that the Housing Choice Voucher program will pay toward a tenant's rent. However, the actual amount paid by the voucher program depends on the tenant's portion and utility allowances.
To understand what a landlord receives, it's important to break down the components. The tenant is required to pay 30% of their adjusted monthly income towards rent. If we assume an average adjusted monthly income of $1,500 for a tenant in ZIP 39309, then the tenant would pay $450 towards rent. The remaining balance up to the SAFMR of $1,070 is covered by the voucher program. In addition, the voucher program also provides utility allowances which can vary but are typically around $200-$300 per month depending on the household size and local energy costs.
Therefore, a landlord in ZIP 39309 would receive a total of $650 to $870 per month for a two-bedroom unit when combining the tenant's contribution and the utility allowance. This calculation shows that the landlord will not receive the full SAFMR amount unless the tenant's income is high enough to cover the difference. In most cases, there will be a reimbursement gap where the landlord does not receive the full SAFMR amount.
Given the SAFMR of $1,070 and the typical tenant contribution plus utility allowance totaling between $650 and $870, the reimbursement gap for a two-bedroom unit in ZIP 39309 is approximately $200 to $420 per month. This means landlords must adjust their expectations and possibly their rental pricing strategy to account for this gap if they wish to participate in the Section 8 program.
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.