Morgan County, AL: Fair Market Rent 2027 and Income Limits

Official HUD figures for landlords and renters, effective October 1, 2026 (rents) and May 1, 2026 (income limits).

$1,0232-bedroom FMR, FY2027

$8351-bedroom FMR, FY2027

$70,90080% income limit, family of 4 (FY2026)

$88,600Median family income (FY2026)

The FY2027 Fair Market Rent for a two-bedroom unit in Morgan County is $1,023 a month, up 6.5% from $961 in FY2026. Morgan County belongs to the Decatur, AL MSA FMR area, so the same figures apply across that area. FMRs are gross rents: rent plus all tenant-paid utilities except phone, cable and internet.

Fair market rent in Morgan County by bedroom count

Unit size	FY2027 FMR	FY2026 FMR	Change	Payment standard range (90–110%)
Studio	$830	$755	+9.9%	$747 – $913
1 bedroom	$835	$776	+7.6%	$752 – $918
2 bedrooms	$1,023	$961	+6.5%	$921 – $1,125
3 bedrooms	$1,315	$1,262	+4.2%	$1,184 – $1,446
4 bedrooms	$1,686	$1,550	+8.8%	$1,518 – $1,854

Source: HUD Fair Market Rents FY2027 (effective October 1, 2026) and FY2026 (revised file), details.

What can a landlord charge a Section 8 tenant here?

The FMR is not a cap on what you can ask on the open market. For a Housing Choice Voucher tenant, the local housing authority sets a payment standard, normally between 90% and 110% of the FMR (or of the ZIP-level Small Area FMR where those apply). For a two-bedroom unit in Morgan County that is typically $921 to $1,125 including utilities. You can charge more than the payment standard if the rent passes the housing authority's rent-reasonableness test and, at move-in, the tenant's share stays within 40% of their adjusted monthly income. Ask the housing authority for its current payment standard schedule.

Can local renters afford the fair market rent?

$36,472median income of renter households

$864Median gross rent, all units

28%Rent-to-income ratio (median rent ÷ median renter income)

45%of renter households pay 30% or more of income on rent

At the 30% rule, a renter household earning the local median of $36,472 can afford about $912 a month including utilities. The FY2027 two-bedroom Fair Market Rent of $1,023 is $111 (12.2%) more than that. To rent a two-bedroom at the FMR, a household needs $40,920 a year under the 30% rule, or $36,828 under the common landlord rule that income must be three times the rent.

Morgan County, ACS 2020–2024	Estimate ± MOE
Median gross rent (rent + utilities)	$864 ±$26
Median income of renter households	$36,472 ±$3,173
Renters paying 30% or more of income (cost-burdened)	45.1% ±4.4
Renters paying 50% or more (severely cost-burdened)	21.7% ±3.5
Renter households (where the share can be computed)	11,627

Change since 2015–2019

	ACS 2015–2019	ACS 2020–2024	Change
Median gross rent	$658	$864	+31.3%
Median renter household income	$28,974	$36,472	+25.9%
Renters paying 30%+ of income	42.9%	45.1%	+2.2 pts

Rent-to-income calculator: does an applicant qualify? → · Most affordable counties to rent in this state →

Source: U.S. Census Bureau, American Community Survey 5-Year Estimates 2020–2024 and 2015–2019 (tables B25064, B25119, B25070). ± = margin of error at 90% confidence. Dollar figures are not adjusted for inflation.

Small Area FMRs by ZIP code (FY2027)

In metro areas HUD also publishes ZIP-level Small Area Fair Market Rents. Housing authorities in designated areas must use them for voucher payment standards; others may opt in. Here the two-bedroom SAFMR ranges from $920 to $1,330 depending on the ZIP code.

All 25 ZIP codes in this FMR area

ZIP	0 BR	1 BR	2 BR	3 BR	4 BR
35016	$730	$810	$920	$1,270	$1,290
35019	$730	$740	$960	$1,250	$1,480
35058	$780	$790	$1,030	$1,350	$1,570
35087	$820	$830	$1,060	$1,380	$1,660
35175	$810	$810	$1,050	$1,430	$1,510
35179	$700	$710	$920	$1,210	$1,410
35540	$730	$810	$930	$1,290	$1,420
35565	$700	$790	$920	$1,270	$1,440
35601	$860	$860	$1,060	$1,360	$1,750
35602	$840	$850	$1,040	$1,340	$1,710
35603	$900	$910	$1,110	$1,430	$1,830
35618	$750	$750	$920	$1,180	$1,520
35619	$1,010	$1,010	$1,240	$1,590	$2,040
35621	$870	$900	$1,110	$1,460	$1,790
35622	$840	$850	$1,050	$1,360	$1,700
35640	$800	$810	$990	$1,270	$1,630
35643	$750	$750	$920	$1,180	$1,520
35650	$750	$750	$920	$1,180	$1,520
35651	$730	$790	$920	$1,210	$1,400
35654	$740	$830	$920	$1,190	$1,400
35670	$770	$780	$950	$1,220	$1,570
35672	$750	$750	$920	$1,180	$1,520
35673	$750	$760	$930	$1,200	$1,530
35754	$750	$760	$930	$1,200	$1,530
35775	$1,090	$1,130	$1,330	$1,710	$2,210

Source: HUD FY2027 Small Area FMRs (effective October 1, 2026).

HUD income limits for Morgan County (FY2026)

Income limits decide who qualifies for Section 8 vouchers, public housing and most HUD-assisted units. The area median family income is $88,600 (FY2025: $95,200, −6.9%). Small figures under each limit show the change from FY2025.

Household size	1 person	2 people	3 people	4 people	5 people	6 people	7 people	8 people
Extremely low income (30%)	$18,650 −1.1%	$21,640 +0.4%	$27,320 +2.5%	$33,000 +2.6%	$38,680 +2.7%	$44,360 +2.8%	$50,040 +2.9%	$55,720 +2.9%
Very low income (50%)	$31,050 −1.1%	$35,450 −1.1%	$39,900 −1.1%	$44,300 −1.1%	$47,850 −1.1%	$51,400 −1.2%	$54,950 −1.2%	$58,500 −1.1%
Low income (80%)	$49,650 −1.1%	$56,750 −1.1%	$63,850 −1.1%	$70,900 −1.1%	$76,600 −1.1%	$82,250 −1.1%	$87,950 −1.1%	$93,600 −1.1%

The 30% limit is HUD's “extremely low income” limit: the higher of 30% of median income or the federal poverty guideline, but never above the 50% limit. That is why it can rise faster than 30% of median for larger households. Tax-credit (LIHTC) properties use separate Multifamily Tax Subsidy Project limits.

Source: HUD Section 8 Income Limits FY2026 (effective May 1, 2026) and FY2025, details.