Location: Letcher County, KY | Metro: Letcher County, KY
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,630 |
| 5 Bedrooms | $1,891 |
| 6 Bedrooms | $2,118 |
| 7 Bedrooms | $2,287 |
| 8 Bedrooms | $2,401 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 41825 reveals a unique position in the real estate market, particularly for Section 8 landlords and small-portfolio investors. With a Fair Market Rent (FMR) of $910 for the fiscal year 2026, this area stands out when compared against the missing market and home value data, suggesting a strong reliance on government-subsidized housing.
The rental market stability in ZIP 41825 is influenced by several factors. First, the percentage of renters at 23.4% indicates a moderate level of demand for rental properties. However, without the specific number of days on market (DOM), it's challenging to gauge how quickly properties are rented out, which is a key indicator of market liquidity and stability. The median household income of $51,750 provides some insight into the economic conditions of the area, but it does not directly correlate to rental stability unless compared to other local economic indicators.
Based on the available data, ZIP 41825 leans towards being a high-yield market due to the reliance on Section 8 housing, where the FMR sets a guaranteed rent floor. This can be advantageous for landlords looking to secure consistent rental income without the volatility associated with market-rate fluctuations. However, the lack of stability metrics such as DOM makes it difficult to categorize this area purely as a high-yield market or a steady-cashflow zone. Instead, it appears to be a market that offers potential for high yields, contingent upon the ability to manage properties effectively in a government-assisted rental environment.
To make an informed decision, investors should consider the absence of market and home value data as a significant gap. While the FMR provides a benchmark for rental income, understanding the broader market dynamics, including property values and the speed at which rentals are filled, is crucial for assessing overall market stability and investment risk. The income figure suggests a middle-class area, which could support a mix of Section 8 and non-subsidized rentals, depending on the specific neighborhood characteristics within ZIP 41825.
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.