Location: Knox County, KY | Metro: Knox County, KY
| Unit Size | Monthly FMR |
|---|---|
| Studio | $650 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
ZIP code 40953, located in Knox County, Kentucky, serves as an ideal cash-flow anchor within a Section 8 portfolio strategy. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $870, which aligns well with the financial expectations of landlords seeking stable rental income.
The median home value in ZIP 40953 is $139,073, indicating that property acquisition costs are relatively low compared to other regions. This makes it easier for landlords to achieve positive cash flow from their investments. Since the market data for this specific ZIP code is not available, we rely on the FMR to guide our analysis, which is a reliable indicator of rental rates for subsidized housing.
A cash-flow anchor is crucial for any investment portfolio, providing consistent and predictable income. In ZIP 40953, the absence of specific market data suggests limited volatility, making it a safe choice for generating steady returns. Landlords can expect to receive the guaranteed Section 8 payment of $870 per month, ensuring a reliable income stream without the need to chase fluctuating market rents.
The renter share in this ZIP code stands at 32.2%, indicating a significant portion of the population relies on rental housing. With a median income of $16,375, many residents qualify for the Section 8 program, creating a robust demand for subsidized rentals. This demand stability further supports the use of ZIP 40953 as a cash-flow anchor, as there is little risk of vacancies or non-payment due to the high participation rate in the program.
In conclusion, ZIP 40953 offers a strong foundation for a Section 8 portfolio strategy, acting as a cash-flow anchor. The FMR of $870 ensures predictable monthly income, while the low median home value of $139,073 provides an opportunity for positive cash flow. The significant renter share and median income figures indicate a high demand for subsidized housing, reducing the risk of vacancy and default. These factors make ZIP 40953 a prudent choice for landlords and small-portfolio investors looking to stabilize their rental 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.