FY2027 Small Area FMR · Decatur, AL

ZIP 35601 Fair Market Rent & Payment Standards

HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 35601 (Decatur, AL) is $1,060 a month, up 7.1% from FY2026. That is 4% above the Decatur, AL area-wide FMR of $1,023.

2-bedroom SAFMR$1,060per month ▲ 7.1%

Area-wide 2 BR FMR$1,023Decatur, AL

Rank in the area5thof 25 ZIP codes

Payment standard range, 2 bedrooms

90% of SAFMR$954

2 BR Small Area FMR$1,060

110% of SAFMR$1,166

Housing agencies may set voucher payment standards anywhere from 90% to 110% of the FMR without asking HUD.

Studio$860▲ 10.3%

1 BR$860▲ 7.5%

2 BR$1,060▲ 7.1%

3 BR$1,360▲ 4.6%

4 BR$1,750▲ 9.4%

FY2027 FY2026

Where 35601 sits in the Decatur, AL area

Of the 25 ZIP codes HUD lists for the area, 35601 has the 5th highest two-bedroom Small Area FMR. Decatur, AL is not on HUD's list of mandatory Small Area FMR areas, so voucher payment standards here are normally based on the area-wide FMR of $1,023 for two bedrooms; an agency that opts in to Small Area FMRs would use $1,060 for this ZIP code instead.

All unit sizes

Monthly gross rent including utilities
Unit	FY2027 SAFMR	Payment standard range	Area-wide FMR	FY2026 SAFMR
Studio	$860	$774 – $946	$830	$780
1 bedroom	$860	$774 – $946	$835	$800
2 bedrooms	$1,060	$954 – $1,166	$1,023	$990
3 bedrooms	$1,360	$1,224 – $1,496	$1,315	$1,300
4 bedrooms	$1,750	$1,575 – $1,925	$1,686	$1,600

A household renting a two-bedroom home at the Small Area FMR of $1,060 needs about $42,400 a year to keep housing costs at 30% of income. The area median family income is $88,600 and the 80% low-income limit for four people is $70,900. ZIP code 35601 lies mainly in Morgan County. See the Decatur, AL metro page for the full income limits table and the household check.

Nearby ZIP codes

ZIP	Place	Distance	2 BR SAFMR
35603	Decatur	5.5 mi	$1,110
35671	Tanner	7.0 mi	$1,180
35673	Trinity	7.3 mi	$930
35649	Mooresville	8.2 mi	$1,760
35615	Belle Mina	8.7 mi	$1,760
35756	Madison	11.4 mi	$2,010

Questions

What is the Fair Market Rent for ZIP code 35601?

HUD's FY2027 Small Area Fair Market Rents for 35601 are $860 (studio), $860 (1 BR), $1,060 (2 BR), $1,360 (3 BR) and $1,750 (4 BR) a month.

What is the Section 8 payment standard in 35601?

Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 35601 that range is $954 to $1,166 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.

Which income limits apply in 35601?

The FY2026 income limits of the Decatur, AL area apply: median family income $88,600, low-income (80%) limit $70,900 for a family of four.