Section 8 Fair Market Rent (FMR) for ZIP 41451 - 2027
Location: Morgan County, KY | Metro: Morgan County, KY
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $650 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
To determine if you should invest in ZIP 41451 (Unknown, KY) for Section 8 properties, follow this decision tree:
- Does FMR $870 (metro FY 2026) cover debt service on a property?
- If yes: Proceed to the next question.
- If no: Do not invest in this ZIP code for Section 8 properties. The Fair Market Rent (FMR) does not sufficiently cover the costs associated with owning a property, making it unprofitable.
- Is market rent above, at, or below FMR?
- If market rent is above FMR: This indicates that the rental market is strong, potentially allowing for higher rents outside of Section 8. However, ensure the FMR still covers debt service.
- If market rent equals FMR: There is no premium over the FMR, which means you will only receive the FMR amount. Ensure this is sufficient for your investment goals.
- If market rent is below FMR: This is an anomaly and may indicate issues with the local housing market. Further investigation is needed before investing.
- Are the number of renters and days on market (DOM) sufficient to meet demand?
- If there is enough demand (renters) and low DOM: This suggests a healthy market where properties are quickly occupied, reducing vacancy risks. Invest cautiously, ensuring the FMR meets your financial needs.
- If there is insufficient demand (renters) or high DOM: This implies a weak rental market, making it difficult to find tenants. Avoid investing unless you can secure other income sources.
The decision to invest in ZIP 41451 hinges on the answers to these questions. Insufficient data points to gaps in the analysis, so further research into specific property costs and rental market conditions is necessary before making an investment decision.
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.