Section 8 Fair Market Rent (FMR) for ZIP 40014 - 2027

Location: Shelby County, KY | Metro: Louisville, KY-IN HUD Metro FMR Area

Investment Score for ZIP 40014

F
Monthly Rent (2BR)
$1,360
Median Price (2BR)
$250,252
1% Rule
0.54%
Annual Yield
6.52%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,040
1 Bedroom$1,130
2 Bedrooms$1,360
3 Bedrooms$1,740
4 Bedrooms$2,000
5 Bedrooms$2,320
6 Bedrooms$2,598
7 Bedrooms$2,806
8 Bedrooms$2,946

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,360 $250,252 0.54% F
3BR $1,740 $397,525 0.44% F
4BR $2,000 $566,025 0.35% F
5BR $2,320 $731,071 0.32% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
23,101
Median Household Income
$121,189
Housing Units
8,302
Renter Percentage
12.0%
Occupancy Rate
98.4%
Renter Occupied
980

The ZIP code 40014, Crestwood, KY, is home to 23,101 residents, with 12.0% of them being renters. The median household income in this area stands at a robust $121,189. This indicates that Crestwood is not a renter-heavy ZIP but rather an area dominated by homeowners, which means that the demand for Section 8 vouchers is likely to be lower compared to areas with a higher percentage of renters.

The market rent for the area is reported at $1,648. Considering the median household income, typical rent consumes approximately 13.6% of the local income. This is calculated by dividing the market rent ($1,648) by the median household income ($121,189) and multiplying by 100. In contrast, the Fair Market Rent (FMR) for the area, as set for FY 2024, is $1,490. This suggests that the market rent is slightly above the FMR, indicating that landlords might need to adjust their expectations regarding rental income if they plan to accept Section 8 vouchers.

A landlord in Crestwood, KY, can expect tenants who are likely to be financially stable due to the high median household income. However, the tenant pool seeking Section 8 vouchers will be smaller, and these tenants may have additional requirements or restrictions related to the voucher program. Landlords should also be prepared for a potential discrepancy between market rents and FMRs, which could impact the number of tenants eligible for vouchers in the area.

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.