Location: Leslie County, KY | Metro: Leslie 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 | $940 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,430 |
| 4 Bedrooms | $1,540 |
| 5 Bedrooms | $1,786 |
| 6 Bedrooms | $2,000 |
| 7 Bedrooms | $2,160 |
| 8 Bedrooms | $2,268 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,430 | $89,606 | 1.6% | A+ |
U.S. Census Bureau data (2024)
The investment risk assessment for ZIP code 41749 in relation to Section 8 properties reveals several potential issues that could impact landlords and small-portfolio investors. Firstly, tenant turnover is a significant concern. The market rent stands at $638, which is notably lower than the Fair Market Rent (FMR) of $1,010 for the metro area in fiscal year 2026. This disparity suggests that tenants may be more likely to leave once their financial situation improves, leading to higher turnover rates and the associated costs of finding new tenants.
Vacancy exposure is another critical factor. With the days on market (DOM) being listed as N/A, it's unclear how quickly properties might fill. However, the low market rent relative to FMR implies a potential difficulty in attracting tenants, especially if the area has a competitive rental market. This could result in extended periods of vacancy, reducing the overall income generated by the property.
Deferred maintenance is also a risk, particularly given the typical home value of $85,916 and the median income of $34,934. These figures suggest that residents may struggle to afford significant repairs or upgrades, even when covered by Section 8 vouchers. Landlords must be prepared to invest in maintaining the property's condition to comply with housing quality standards, which can be costly and time-consuming.
Despite these challenges, the high renter share of 15.3% provides a silver lining. High renter density often translates into a robust demand for rental units, including those participating in the Section 8 program. This demand can help mitigate some of the risks associated with vacancy and tenant turnover, as there is a larger pool of potential tenants who may rely on government assistance to secure housing.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.