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Houston County/Cottonwood/36320

36320

ZIPSAFMR
Houston County, AL
Zillow

ZIP Investment Score

84Below average

095130300
BRFMR
Eff. Rent
0 BR$740$740
1 BR$750$750
2 BR$940$940
3 BR$1,260$1,260
4 BR$1,380$1,380
5 BR$1,587Not available
6 BR$1,825Not available
7 BR$2,099Not available
8 BR$2,414Not available

Purchase Price Calculator

Maximum purchase price
$77,767

Cost breakdown

+Likely effective rent$940
HUD FMRUsed$940
Market rentN/A
Est. payment standardN/A
-Principal and interest-$393
Loan amount$62,214
Down payment$15,553
Rate6.50%
Term30 years
-Operating costs-$347
Property taxes-$78
Insurance-$175
Utilities$0
HOA$0
Management-$94
=Target cash flow+$200
Calculation mode

Hold period projections

Annual appreciation rate
3-year hold
+$15,409(99.1% ROI)
Projected value
$83,747
Return breakdown
Property appreciation+$5,980
Loan principal paid down+$2,229
Rental cash flow+$7,200
5-year hold
+$26,194(168.4% ROI)
Projected value
$87,986
Return breakdown
Property appreciation+$10,219
Loan principal paid down+$3,975
Rental cash flow+$12,000
10-year hold
+$55,253(355.2% ROI)
Projected value
$99,548
Return breakdown
Property appreciation+$21,781
Loan principal paid down+$9,471
Rental cash flow+$24,000

Public Housing Authority

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Rolodex

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Market Alignment

Not enough rental comps in this area to determine how FMR aligns with current market rates.

Historical
FY 2023-2027
FMR
FY2027
Property value
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Tax rate
--
Mortgage rate
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ZIP 36320 fair market rent, FY 2027

For FY 2027, HUD's Small Area Fair Market Rent for a two-bedroom unit in ZIP 36320 (Cottonwood, AL) is $940 a month. That is up 4.4% from $900 in FY 2026. Cottonwood is in the Dothan, AL HUD Metro FMR Area. HUD also publishes the ZIP-level Small Area FMRs shown here, but unless the local housing authority has adopted them, vouchers are based on the metro-wide two-bedroom FMR of $966. Among 8 ZIP codes in Houston County, 36320 has the 4th-highest two-bedroom rent (county range $920–$990). The median county two-bedroom FMR in Alabama is $975, so ZIP 36320 is 4% below it.

FY 2027 rent by bedroom

FY 2027 fair market rent by bedroom for 36320
BedroomsFY 2027Change90–110% range
Studio$740+2.8%$666–$814
1BR$750+4.2%$675–$825
2BR$940+4.4%$846–$1,034
3BR$1,260+3.3%$1,134–$1,386
4BR$1,380+2.2%$1,242–$1,518

Fair market rent history, FY 2023–2027

Fair market rent by fiscal year for 36320
Fiscal yearStudio1BR2BR3BR4BR
FY 2027$740$750$940$1,260$1,380
FY 2026$720$720$900$1,220$1,350
FY 2025$670$670$820$1,120$1,270
FY 2024$700$700$860$1,160$1,310
FY 2023$600$610$740$990$1,120

Two-bedroom rent in nearby Houston County ZIP codes

FY 2027 two-bedroom Small Area FMR by ZIP code
ZIP code2 bedroomvs. 36320
36302$990+5.3%
36304$990+5.3%
36312$920−2.1%
36320Current$940—
36321$930−1.1%
36343$970+3.2%
36370$920−2.1%
36376$920−2.1%

Questions about ZIP 36320 rents

How much will Section 8 pay for a two-bedroom in ZIP 36320?

Housing authorities set voucher payment standards, normally between 90% and 110% of the FMR. With the metro-wide two-bedroom FMR of $966, which applies unless the housing authority uses Small Area FMRs, that basic range is $869 to $1,063 a month; under the ZIP-level Small Area FMR of $940 it would be $846 to $1,034. The voucher pays the lower of the payment standard or the gross rent, minus the tenant's share, which is usually about 30% of adjusted monthly income. Confirm the local housing authority's current schedule before underwriting.

Which HUD fair market rent area is ZIP 36320 in?

ZIP 36320 is in the Dothan, AL HUD Metro FMR Area. Small Area FMRs are optional here; the metro-wide two-bedroom FMR is $966.

How much did fair market rent change in ZIP 36320 for FY 2027?

The two-bedroom FMR rose 4.4%, from $900 in FY 2026 to $940 in FY 2027. Since FY 2023 it has risen 27.0%.

When do FY 2027 fair market rents take effect?

HUD's FY 2027 fair market rents took effect on October 1, 2026. When FMRs change, housing authorities generally have up to three months to bring payment standards back within 90% to 110% of the new FMR.

Source: HUD FY 2027 Small Area Fair Market Rents and area FMRs. Payment-standard ranges are 90% to 110% of FMR, HUD's basic range, not a housing authority's published schedule. How payment standards are set

County fair market rentCottonwood, AL fair market rentAL statewide rentsWhat is SAFMR?Data sources