Location: Floyd County, KY | Metro: Floyd County, KY
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 | $790 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,460 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,460 | $143,788 | 1.02% | B |
U.S. Census Bureau data (2024)
The ZIP code 41603, located in Floyd County, Kentucky, serves as a cash-flow anchor within a Section 8 portfolio strategy. The Federal Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,050, which exceeds the current market rent of $848. This $202 spread provides a steady, reliable income stream for landlords participating in the Section 8 program.
The median home value in ZIP 41603 stands at $120,426, making it an affordable area for both homeowners and renters. The median income in the region is $62,986, indicating that residents have sufficient financial stability to support rental obligations. With a 40.9% renter share, there is a significant portion of the population relying on rental properties, ensuring consistent demand for units.
While appreciation plays might offer higher returns, the reliability of cash flow in ZIP 41603 makes it an ideal choice for landlords looking to stabilize their investment portfolios. The difference between the FMR and market rent ensures a positive cash flow, reducing the risk of vacancy and default.
This ZIP code is particularly suitable for small-portfolio investors who prioritize steady income over rapid appreciation. Given the economic indicators and the strong alignment with Section 8 guidelines, ZIP 41603 offers a secure foundation for generating predictable rental income.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.