Location: Taylor County, KY | Metro: Casey County, KY
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $650 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,160 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,160 | $204,668 | 0.57% | F |
U.S. Census Bureau data (2024)
7.7% of residents in ZIP 40009 are renters, indicating a moderate demand for rental properties. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $870, which is higher than the current market rent of $679 as reported by the Census ACS. This suggests that there is potential for rental rates to increase, aligning with the FMR benchmark.
$201,570 is the median home value in ZIP 40009, reflecting a stable housing market. However, the median income of $63,889 might limit the purchasing power of some residents, making rental properties more attractive. The discrepancy between the FMR and market rent implies that landlords could consider raising their rents without significantly deterring tenants.
N/A-day DOM and N/A% price-cut share indicate incomplete data regarding the days on market and the percentage of homes that have had their prices reduced. Despite these missing details, the overall trend points towards a balanced market where rental properties can command higher rates closer to the FMR.
The gap between the FMR and market rent also highlights an opportunity for landlords to adjust their pricing strategies. With the median income being $63,889, many residents may find it challenging to afford homeownership, thus relying on rentals. Given the current market rent is below the FMR, it's reasonable to assume that tenants are paying less than what the market could support.
In ZIP 40009, the low median income combined with a moderate renter population suggests that the Section 8 program could be a significant source of steady, government-backed rental income. Landlords who accept Section 8 vouchers can expect a stable stream of payments, with the FMR serving as a guideline for what the government will reimburse.
Verdict: Acceptable for Section 8 investments given the favorable FMR-market rent gap and stable housing values.Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.