FY2027 Small Area FMR · Chattanooga, TN
ZIP 37409 Fair Market Rent & Payment Standards
HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 37409 (Chattanooga, TN) is $1,440 a month, down 0.7% from FY2026. That is 7% above the Chattanooga, TN-GA area-wide FMR of $1,340.
Payment standard range, 2 bedrooms
Housing agencies may set voucher payment standards anywhere from 90% to 110% of the FMR without asking HUD.
FY2027 FY2026
Where 37409 sits in the Chattanooga, TN-GA area
Of the 71 ZIP codes HUD lists for the area, 37409 has the 13th highest two-bedroom Small Area FMR. Chattanooga, TN-GA is one of the 65 metro areas where HUD requires Small Area FMRs for the Housing Choice Voucher program (designated 2023), so local housing agencies must set payment standards from this ZIP code's figure, normally between $1,296 and $1,584 for two bedrooms.
All unit sizes
| Unit | FY2027 SAFMR | Payment standard range | Area-wide FMR | FY2026 SAFMR |
|---|---|---|---|---|
| Studio | $1,270 | $1,143 – $1,397 | $1,181 | $1,260 |
| 1 bedroom | $1,320 | $1,188 – $1,452 | $1,231 | $1,320 |
| 2 bedrooms | $1,440 | $1,296 – $1,584 | $1,340 | $1,450 |
| 3 bedrooms | $1,780 | $1,602 – $1,958 | $1,657 | $1,810 |
| 4 bedrooms | $1,890 | $1,701 – $2,079 | $1,761 | $1,930 |
A household renting a two-bedroom home at the Small Area FMR of $1,440 needs about $57,600 a year to keep housing costs at 30% of income. The area median family income is $97,400 and the 80% low-income limit for four people is $77,900. ZIP code 37409 lies mainly in Hamilton County. See the Chattanooga, TN-GA metro page for the full income limits table and the household check.
Nearby ZIP codes
Questions
What is the Fair Market Rent for ZIP code 37409?
HUD's FY2027 Small Area Fair Market Rents for 37409 are $1,270 (studio), $1,320 (1 BR), $1,440 (2 BR), $1,780 (3 BR) and $1,890 (4 BR) a month.
What is the Section 8 payment standard in 37409?
Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 37409 that range is $1,296 to $1,584 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.
Which income limits apply in 37409?
The FY2026 income limits of the Chattanooga, TN-GA area apply: median family income $97,400, low-income (80%) limit $77,900 for a family of four.