Location: Leslie County, KY | Metro: Leslie County, KY
| Unit Size | Monthly FMR |
|---|---|
| Studio | $650 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,270 |
| 5 Bedrooms | $1,473 |
| 6 Bedrooms | $1,650 |
| 7 Bedrooms | $1,782 |
| 8 Bedrooms | $1,871 |
U.S. Census Bureau data (2024)
A landlord considering purchasing a property in ZIP code 41776 for Section 8 purposes should follow this decision tree:
1) Does the Fair Market Rent (FMR) of $870 clear debt service on a $84,361 property?
No. The FMR of $870 does not cover the debt service required for a property valued at $84,361. To clear debt service, the rental income must be sufficient to cover mortgage payments, property taxes, insurance, and maintenance costs. Given that the FMR is set by HUD and represents the maximum amount that can be charged for a Section 8 voucher, a landlord would need to ensure that these funds are adequate to meet all financial obligations. In this case, the FMR is insufficient.
It depends. This scenario applies if the landlord is looking at properties with lower purchase prices or has other sources of income to supplement the FMR. However, based on the provided information, the answer leans towards no unless the property's value is significantly less than $84,361 or there are other mitigating factors.
Yes. This branch is not applicable given the provided data. A property priced at $84,361 would likely require more than $870 in monthly rental income to cover all associated costs.
2) Is the market rent above, at, or below the FMR?
The market rent is listed as N/A, which means there is no specific data available to compare against the FMR of $870. Landlords must research local rental rates to determine if the market rent exceeds the FMR. If it does, the landlord might consider renting outside of the Section 8 program to maximize revenue.
3) Are the 14.1% renters and N/A-day Days on Market (DOM) indicative of enough demand?
No. With only 14.1% of residents identified as renters, the demand for rental properties in ZIP 41776 appears to be relatively low. Additionally, the lack of data on DOM suggests either an underdeveloped rental market or a lack of recent transactions, which could indicate slower sales cycles. These factors combined suggest that demand may not be robust enough to support a Section 8 investment.
It depends. If the landlord is willing to wait longer for a tenant or finds other ways to attract renters, then the low percentage of renters and unknown DOM might still allow for a viable investment. However, this would require a deeper analysis of the local housing market and tenant preferences.
Yes. This branch is not supported by the data provided. While 14.1% of residents being renters is a starting point, the lack of information on DOM makes it difficult to assess the overall demand accurately. Without additional data, this cannot be confirmed.
In summary, the FMR of $870 does not appear to be sufficient to cover the debt service on a property costing $84,361. Furthermore, the limited rental market presence and unclear DOM data suggest that demand may not be strong enough to support a Section 8 investment in ZIP 41776.
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.