FY2027 Small Area FMR · Hillsboro, TN

ZIP 37342 Fair Market Rent & Payment Standards

HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 37342 (Hillsboro, TN) is $1,030 a month, up 10.8% from FY2026. That is 5% below the Coffee County, TN area-wide FMR of $1,088.

2-bedroom SAFMR$1,030per month ▲ 10.8%

Area-wide 2 BR FMR$1,088Coffee County, TN

Rank in the area11thof 12 ZIP codes

Payment standard range, 2 bedrooms

90% of SAFMR$927

2 BR Small Area FMR$1,030

110% of SAFMR$1,133

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

Studio$830▲ 10.7%

1 BR$880▲ 17.3%

2 BR$1,030▲ 10.8%

3 BR$1,380▲ 11.3%

4 BR$1,380▲ 0.7%

FY2027 FY2026

Where 37342 sits in the Coffee County, TN area

Of the 12 ZIP codes HUD lists for the area, 37342 has the 11th highest two-bedroom Small Area FMR. Coffee County, TN 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 $1,088 for two bedrooms; an agency that opts in to Small Area FMRs would use $1,030 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	$830	$747 – $913	$873	$750
1 bedroom	$880	$792 – $968	$928	$750
2 bedrooms	$1,030	$927 – $1,133	$1,088	$930
3 bedrooms	$1,380	$1,242 – $1,518	$1,453	$1,240
4 bedrooms	$1,380	$1,242 – $1,518	$1,459	$1,370

A household renting a two-bedroom home at the Small Area FMR of $1,030 needs about $41,200 a year to keep housing costs at 30% of income. The area median family income is $75,800 and the 80% low-income limit for four people is $62,400. ZIP code 37342 lies mainly in Coffee County. See the Coffee County, TN county page for the full income limits table and the household check.

Nearby ZIP codes

ZIP	Place	Distance	2 BR SAFMR
37366	Pelham	7.6 mi	$1,280
37301	Altamont	8.8 mi	$1,230
37355	Manchester	10.7 mi	$1,110
37324	Decherd	10.7 mi	$1,020
37394	Viola	11.3 mi	$1,010
37330	Estill Springs	12.9 mi	$1,130

Questions

What is the Fair Market Rent for ZIP code 37342?

HUD's FY2027 Small Area Fair Market Rents for 37342 are $830 (studio), $880 (1 BR), $1,030 (2 BR), $1,380 (3 BR) and $1,380 (4 BR) a month.

What is the Section 8 payment standard in 37342?

Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 37342 that range is $927 to $1,133 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.

Which income limits apply in 37342?

The FY2026 income limits of the Coffee County, TN area apply: median family income $75,800, low-income (80%) limit $62,400 for a family of four.