Location: Cincinnati, OH | Metro: Cincinnati, OH-KY-IN HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,340 |
| 1 Bedroom | $1,440 |
| 2 Bedrooms | $1,840 |
| 3 Bedrooms | $2,420 |
| 4 Bedrooms | $2,730 |
| 5 Bedrooms | $3,167 |
| 6 Bedrooms | $3,547 |
| 7 Bedrooms | $3,831 |
| 8 Bedrooms | $4,023 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,840 | $234,495 | 0.78% | D |
| 3BR | $2,420 | $323,180 | 0.75% | D |
| 4BR | $2,730 | $387,821 | 0.7% | D |
| 5BR | $3,167 | $467,908 | 0.68% | D |
U.S. Census Bureau data (2024)
The potential downsides for investing in Section 8 housing in ZIP code 41005 in Burlington, KY, are significant. Tenant turnover poses a notable challenge, with the market rent at $2,153 compared to the Federal Market Rent (FMR) of $1,430 for FY 2024. This discrepancy suggests that tenants might be more inclined to leave when they find higher-paying jobs or move to areas with more affordable rents. Vacancy exposure is another concern, considering the average Days on Market (DOM) is 25 days, which can lead to periods where properties do not generate income. Furthermore, the deferred maintenance risk is substantial, given the typical home value of $323,803 and the median income of $112,083. These figures indicate that homeowners may struggle to keep up with necessary repairs and maintenance, potentially leading to higher costs for landlords.
However, these risks are tempered by the high renter share in the area, which stands at 22.0%. High renter density often translates into greater demand for rental properties, including those that accept Section 8 vouchers. The concentration of renters can help ensure a steady pool of potential tenants, reducing the likelihood of extended vacancies and making it easier to manage turnovers.
In conclusion, the investment risk for a first-time Section 8 landlord in ZIP 41005 in Burlington, KY, is moderate.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.