Location: Lexington-Fayette, KY | Metro: Lexington-Fayette, KY MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,010 |
| 1 Bedroom | $1,230 |
| 2 Bedrooms | $1,450 |
| 3 Bedrooms | $2,000 |
| 4 Bedrooms | $2,160 |
| 5 Bedrooms | $2,506 |
| 6 Bedrooms | $2,807 |
| 7 Bedrooms | $3,032 |
| 8 Bedrooms | $3,184 |
The analysis of ZIP code 40544 within the Lexington-Fayette, KY MSA metro area reveals several key points regarding its viability for Section 8 real estate investment.
Regarding the rent math, the Fair Market Rent (FMR) for ZIP 40544 in fiscal year 2024 is set at $1210. However, due to the lack of specific market rent data, it's impossible to directly compare the FMR against the actual market rates. This absence of market rent figures hinders a precise assessment of whether the rent math works effectively in this ZIP code.
Concerning the affordability of acquisitions, the analysis is similarly constrained by missing data. The median home value, days on market (DOM), and percentage of homes requiring price cuts are all listed as N/A. Without these figures, landlords and small-portfolio investors cannot accurately gauge the cost and competition associated with acquiring properties in ZIP 40544.
On the matter of tenant demand, the population and the percentage of renters in ZIP 40544 are also listed as N/A. This lack of demographic information makes it difficult to assess the potential occupancy rates and the overall demand for rental housing in this area.
Verdict: Investment in ZIP 40544 is currently hindered by a significant lack of critical data points necessary for informed decision-making. The Fair Market Rent is established at $1210 for fiscal year 2024, but without market rent figures, the median home value, days on market, percentage of price cuts, and tenant demographics, it's challenging to determine if the rent math works, if property acquisitions are affordable, and if there is sufficient tenant demand. Landlords and investors should seek additional, more detailed local market reports before considering investment in this ZIP code.
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.