Location: Breckinridge County, KY | Metro: Meade County, KY HUD Metro FMR Area
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 | $740 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $970 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $970 | $138,681 | 0.7% | D |
| 3BR | $1,320 | $199,185 | 0.66% | D |
| 4BR | $1,520 | $263,376 | 0.58% | F |
U.S. Census Bureau data (2024)
The Section 8 program in ZIP code 40146, located in Irvington, Kentucky, presents a significant opportunity for landlords and small-portfolio investors due to the substantial gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for ZIP 40146 in fiscal year 2024 is set at $1040, whereas the Census American Community Survey (ACS) reports the average market rent at $688. This creates a gap of $352, which represents an increase of approximately 51% over the market rent.
The higher FMR compared to the market rent means that landlords can potentially earn a greater yield when renting to voucher tenants. For instance, a landlord who charges $688 per month can receive up to $1040 through the Section 8 voucher program, effectively increasing their rental income by $352 per month. This is particularly advantageous given the local context where only 22.6% of residents are renters, indicating a lower competition for rental properties. Additionally, the median home value in Irvington is $165,260, while the median household income stands at $54,167, suggesting that many residents might find it challenging to purchase homes outright, making rental properties, especially those with affordable Section 8 rates, attractive options.
However, landlords must also be aware of the potential costs associated with housing voucher tenants. While the FMR is higher than the market rent, landlords may face additional administrative burdens and regulations tied to the Section 8 program. Moreover, there could be limitations on how much they can charge for utilities or other fees, which might affect overall profitability. Despite these considerations, the gap between FMR and market rent remains a key factor in determining the financial viability of participating in the Section 8 program in Irvington, KY.
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.