Location: Wolfe County, KY | Metro: Powell County, KY
| Unit Size | Monthly FMR |
|---|---|
| Studio | $660 |
| 1 Bedroom | $760 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP 41360 reveals a critical gap between the Fair Market Rent (FMR) set by HUD and the actual market rent. The FMR for the metro area in fiscal year 2026 is $870. However, the market rent for ZIP 41360 remains unspecified, indicating potential challenges in obtaining accurate local data.
In ZIP 41360, 33.0% of residents are renters, reflecting a moderate demand for rental properties. The median home value is notably lower at $96,981, far below the national average of $393,134 and the state average of $205,871. This suggests a predominantly lower-income demographic, which aligns with the median income figure of $23,438.
Given the FMR of $870 and the lack of specific market rent data, it is reasonable to infer that the market rent could be higher than the FMR. If this is the case, landlords accepting Section 8 vouchers would be renting their units below the open-market rate. This scenario presents a cost consideration for landlords, as they must ensure the voucher amount covers their expenses without incurring losses.
If the market rent were to be lower than the FMR, which is possible given the economic context of ZIP 41360, then voucher tenants could represent a yield play. In such a situation, landlords would receive payments at or near the FMR, potentially exceeding local market rates and providing a financial advantage.
The decision to accept Section 8 tenants should be made with a thorough understanding of the local rental market and the financial implications of both scenarios. Landlords should consult with local real estate professionals and review recent rental listings to gauge the true market conditions.
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.