Location: Knott County, KY | Metro: Knott 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 | $700 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $980 |
| 3 Bedrooms | $1,170 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,170 | $126,782 | 0.92% | C |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 landlord in ZIP code 41831 include significant challenges related to tenant turnover, vacancy exposure, and deferred maintenance. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $870, which is lower than the typical market rent, though specific market rent figures are currently unavailable. This discrepancy can lead to higher turnover rates as tenants may struggle to afford the difference between the FMR and actual market rents.
Vacancy exposure is another concern. With no data available on days on market (DOM), it's difficult to predict how long properties might remain vacant. However, in areas where the median income is relatively low compared to home values, landlords often face longer periods of vacancy due to limited financial resources among potential tenants. In ZIP 41831, the median household income is $53,068, while the typical home value stands at $100,218. This disparity suggests that tenants might have difficulty affording non-subsidized housing, potentially increasing the risk of extended vacancies.
Deferred maintenance is also a notable risk. Given the median income of $53,068, tenants may be less likely to cover maintenance costs beyond their rental contributions. Landlords must be prepared to handle these expenses themselves, which can add to the overall cost of property management.
However, these risks are somewhat mitigated by the high concentration of renters in the area, with 10.7% of the population being renters. High renter density typically correlates with increased demand for Section 8 vouchers, providing a steady stream of qualified tenants. This demand can help ensure that properties are occupied and reduce the likelihood of prolonged vacancies.
In conclusion, the overall risk for a first-time Section 8 landlord in ZIP 41831 is moderate.
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.