Location: Knott County, KY | Metro: Knott County, KY
| 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 |
U.S. Census Bureau data (2024)
The classification of ZIP code 41861 hinges upon its unique blend of yield potential and market stability, which are critical factors for landlords and small-portfolio investors. Yield is assessed through the Fair Market Rent (FMR), a key metric used by HUD for Section 8 housing. For the fiscal year 2026, the FMR for the metro area stands at $960. However, specific market and home value data for ZIP 41861 are currently unavailable, suggesting reliance on broader regional indicators for investment decisions.
Stability, on the other hand, is gauged by the percentage of renters, days on market (DOM), and median household income. In ZIP 41861, 24.3% of residents are renters, indicating a moderate rental market presence. The median household income is reported at $28,906, which places it below the national average and suggests a potentially volatile economic environment where job security and income levels could impact renter reliability.
Given these specifics, ZIP 41861 does not clearly fit into a high-yield/low-stability category typical of 'flip-style' markets. Instead, it presents characteristics of a steady-cashflow zone, albeit with caveats. The rental percentage, while not exceptionally high, supports a continuous cash flow model rather than a speculative one. The median income figure, however, signals that investors should be cautious about setting rental rates too high, as they might exceed what many residents can afford.
In conclusion, ZIP 41861 leans towards a steady-cashflow investment zone, driven by the FMR of $960 and a moderate 24.3% rental rate. However, the lower median income necessitates careful management of rental pricing to maintain occupancy rates and ensure financial stability. This balance makes it an area suitable for long-term investment strategies over quick flips or highly speculative ventures.
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.