Location: Clay County, KY | Metro: Clay County, KY
| Unit Size | Monthly FMR |
|---|---|
| Studio | $650 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,270 |
| 5 Bedrooms | $1,473 |
| 6 Bedrooms | $1,650 |
| 7 Bedrooms | $1,782 |
| 8 Bedrooms | $1,871 |
The Section 8 market analysis for ZIP code 40932, located in Clay County, Kentucky, reveals critical insights for landlords and small-portfolio investors. The HUD Fair Market Rent (FMR) for the area, effective for fiscal year 2026, is set at $870. This figure represents the maximum amount that voucher holders can pay toward their housing costs.
Given the lack of specific market rent data for ZIP 40932, it's challenging to provide a direct comparison. However, based on typical market conditions and the HUD FMR, voucher tenants will likely cashflow at the FMR rate but only in lower-end units. Premium units, which are typically newer or better maintained, might struggle to cashflow without some form of subsidy or modification to the standard voucher payment structure.
The median home value in the area is also not available, making it difficult to calculate an exact rent-to-price ratio. Nevertheless, this ratio is crucial for understanding the local real estate market dynamics. In areas where the median home values are significantly higher than the rent, it often indicates that owning a home is more economical than renting, which could influence tenant preferences and market stability.
With no specific data on the number of days properties stay on the market (DOM) or the percentage of price cuts, we can infer that these metrics would be relevant to gauge the health of the real estate market. High DOM and frequent price cuts suggest a buyer's market, which might benefit investors looking to purchase properties at a discount. Conversely, low DOM and minimal price cuts indicate a seller's market, potentially increasing the cost of acquiring rental properties.
The strongest investor angle in ZIP 40932 is stability. The consistent HUD FMR provides a reliable income stream, especially for those focusing on maintaining a portfolio of lower-end units. Stability is key for long-term investment strategies, ensuring steady cash flow and reducing the risk associated with volatile markets.
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.