Location: Bell County, KY | Metro: Bell County, KY
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
U.S. Census Bureau data (2024)
The median income in ZIP code 40845 stands at $23,450, which presents a stark contrast against the market rent rate of $846 per month. This means that a significant portion of the population might struggle to afford housing without financial assistance. The Family Monthly Income (FMI) standard for Section 8 vouchers in the area is set at $980 for fiscal year 2026, which is notably higher than the current market rate. However, it's still a challenge for many households to cover even the lower market rent rate.
With 39.0% of the population being renters and a total population of 580, the competition among landlords is likely to be fierce. The affordability gap between the median income and both the market rent rate and the FMI standard indicates that there are many potential tenants who would require assistance through housing vouchers to secure a rental property. This situation means that landlords must consider the benefits and drawbacks of accepting Section 8 vouchers versus relying on cash-paying tenants.
Accepting Section 8 vouchers can ensure a steady stream of income, albeit at a fixed rate set by the government. On the other hand, cash-paying tenants might offer higher rents but are subject to the economic constraints of the area. Given the median income and the high percentage of renters, landlords should prepare for a scenario where voucher holders form a substantial part of the tenant pool. Landlords who accept vouchers will have a competitive edge in attracting tenants, while those who do not may find themselves with fewer options unless they can significantly reduce their asking price to align with the economic reality of the area.
The takeaway for landlords is clear: to remain competitive and fill vacancies, considering the acceptance of Section 8 vouchers is essential. While the FMI standard of $980 is higher than the current market rate of $846, it remains within reach for many households in ZIP 40845, making voucher acceptance a strategic move to ensure occupancy and stable income.
Data Sources: FMR data from HUD (2027). 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.