Location: Louisville, KY | Metro: Louisville, KY-IN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $990 |
| 1 Bedroom | $1,080 |
| 2 Bedrooms | $1,300 |
| 3 Bedrooms | $1,660 |
| 4 Bedrooms | $1,910 |
| 5 Bedrooms | $2,216 |
| 6 Bedrooms | $2,482 |
| 7 Bedrooms | $2,681 |
| 8 Bedrooms | $2,815 |
The ZIP code 40221, located within the Louisville, KY-IN HUD Metro FMR Area, presents a unique opportunity for inclusion in a Section 8 portfolio strategy. Given the available data, this area serves best as a cash-flow anchor. The Fair Market Rent (FMR) for ZIP 40221 in fiscal year 2024 is set at $1320. This figure represents the baseline rental rate that landlords can expect when participating in the Section 8 program, ensuring a steady and reliable income stream.
Despite the lack of specific market data such as the median home value or current market rents, the FMR of $1320 provides a solid foundation for maintaining consistent cash flow. Landlords who invest in properties within this ZIP code can rely on this government-backed rental assistance program to cover their costs and provide predictable returns. This stability is particularly valuable in a diversified investment portfolio, where some assets might be subject to greater market volatility.
The absence of data regarding price-cut shares, days on market (DOM), and median income does not detract from the role of 40221 as a cash-flow anchor. Instead, it underscores the importance of the Section 8 program in stabilizing rental income in areas where market conditions are less clear or potentially unstable. By focusing on the guaranteed rental payments through the Section 8 program, investors can secure a portion of their portfolio against economic downturns and market fluctuations.
In conclusion, ZIP 40221 is best positioned as a cash-flow anchor within a Section 8 portfolio strategy due to the fixed FMR of $1320, which ensures a stable and reliable income source. This makes it an ideal choice for landlords and small-portfolio investors looking to balance their investments with low-risk, high-reliability assets.
Data Sources: FMR data from HUD (2027).
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.