Location: Montgomery County, MS | Metro: Attala County, MS
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 | $760 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,080 |
| 4 Bedrooms | $1,190 |
| 5 Bedrooms | $1,380 |
| 6 Bedrooms | $1,546 |
| 7 Bedrooms | $1,670 |
| 8 Bedrooms | $1,754 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $910 | $98,993 | 0.92% | C |
| 3BR | $1,080 | $133,475 | 0.81% | C |
U.S. Census Bureau data (2024)
The neighborhood in ZIP code 39747, located in Kilmichael, Mississippi, is characterized by a relatively small population of 1,492 residents. Renters make up 25.7% of the housing market, indicating a community where a significant portion of the population owns their homes. The median household income in this area is $57,522, which provides a moderate economic base for both homeowners and renters. The median home value stands at $119,473, reflecting an affordable market for property owners.
When it comes to rental economics, the Fair Market Rent (FMR) for ZIP 39747 is set at $840 for the metro area fiscal year 2026. This is notably lower than the market rent, which averages $1,031 according to the latest Census American Community Survey (ACS) data. This gap suggests that landlords can potentially charge higher rents than the government-subsidized rate, offering opportunities for profit above the Section 8 reimbursement levels.
Given these factors, ZIP 39747 may suit different types of investors. For those seeking a hands-off approach, the area's manageable size and lower percentage of renters could mean fewer administrative burdens and a stable tenant pool. However, for investors interested in a more active role, there is room to add value through property improvements, given the disparity between FMR and market rent. This strategy could attract tenants willing to pay above the subsidized rate, thus enhancing investment returns.
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.