Section 8 Fair Market Rent (FMR) for ZIP 40958 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

The investment risk assessment for ZIP code 40958 reveals several potential challenges that landlords should consider before engaging in Section 8 housing programs. Tenant turnover is a significant concern due to the disparity between the market rent, which is currently unavailable, and the Fair Market Rent (FMR) set at $870 for FY 2026. This discrepancy can lead to higher turnover rates as tenants may struggle to afford increases beyond the FMR.

Vacancy exposure is another issue, especially when the Days on Market (DOM) is also unspecified. In areas where the DOM is unknown or high, landlords face the risk of prolonged vacancies, which can impact cash flow negatively. The typical home value in ZIP 40958 is $90,575, while the median income stands at $48,721. These figures suggest that homeowners might be financially stretched, leading to potential deferred maintenance issues. Such delays in upkeep can result in higher repair costs and decreased property values over time.

Despite these risks, there are mitigating factors to consider. The renter share in ZIP 40958 is 30.1%, indicating a high concentration of renters. This dense rental market often correlates with higher demand for housing vouchers, which can stabilize occupancy rates and provide a steady stream of tenants through the Section 8 program.

In conclusion, the investment risk for a first-time Section 8 landlord in ZIP 40958 is moderate.

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.