Does Section 8 Cash Flow in Knoxville, Tennessee?
Knoxville, in Knox County, grades B on CloseHound — a reliable cash-flow market with the right property, worth screening regularly. The median 3-bedroom voucher pays $1,680/mo, and Tennessee's roughly 0.6% property tax and 0.7% insurance keep more of that rent flowing to the bottom line across the 6 screened ZIP codes.
The honest part of a B grade is that it isn't a blanket buy. The screened voucher range spans $1,550 to $2,070, so the spread between a marginal deal and a strong one is wide — underwrite each address, don't assume the median. Screen any Knoxville property free on CloseHound to compare it against the $168,000 supported price.
Knoxville HUD Section 8 voucher rents by ZIP (FY2026)
Official HUD Small Area Fair Market Rents — the voucher ceiling a landlord can collect in each ZIP, by bedroom count.
| ZIP code | 2-bed | 3-bed | 4-bed |
|---|---|---|---|
| 37914 | $1,330/mo | $1,680/mo | $1,960/mo |
| 37915 | $1,220/mo | $1,550/mo | $1,800/mo |
| 37917 | $1,630/mo | $2,070/mo | $2,410/mo |
| 37920 | $1,330/mo | $1,680/mo | $1,960/mo |
| 37921 | $1,530/mo | $1,940/mo | $2,260/mo |
| 37924 | $1,310/mo | $1,660/mo | $1,930/mo |
Source: HUD FY2026 SAFMR. CloseHound underwrites live listings against these exact ceilings.
More Section 8 markets in Tennessee
Knoxville Section 8 FAQ
What's the Section 8 voucher rent for a 3-bed in Knoxville?+
The median 3-bedroom voucher in Knoxville pays about $1,680/mo on FY2026 figures, with screened ZIPs ranging from $1,550 to $2,070.
Is Knoxville a good Section 8 market?+
CloseHound grades it a B — reliable cash flow with the right property. It works, but it's a screen-each-deal market rather than one where everything pencils.
What's the tax and insurance drag on a Knoxville rental?+
Knoxville carries roughly 0.6% effective property tax and about 0.7% insurance, both low, which is part of why Tennessee markets convert voucher rent to net yield well.
How do I find cash-flowing Section 8 deals in Knoxville?+
Run each address through CloseHound's free screener, which weighs the asking price against the local 3-bed voucher (around $1,680/mo) and a $168,000 1%-rule supported price.
Screen Knoxville deals free
See which Knoxville listings actually cash-flow on the voucher — underwritten and ranked by Deal Score.
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