Section 8 Fair Market Rent (FMR) for ZIP 42053 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Housing Authorities Serving ZIP 42053

• Housing Authority of Paducah (Paducah, KY) - 601 Section 8 vouchers

The ZIP code 42053, located in Kevil, Kentucky, presents a unique opportunity for real-estate investors interested in the Section 8 housing market. Nestled in a rural setting, Kevil offers a stable environment with a mix of homeowners and renters, making it a viable option for those looking to invest in both rental properties and single-family homes.

• Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,110. This figure indicates the maximum amount that a landlord can charge for a Section 8 voucher, providing a clear benchmark for rental pricing.
• The average market rent, according to Census ACS data, is $924. This suggests that there is a potential for modest premium pricing when participating in the Section 8 program, given the higher FMR threshold.
• The median home value in the area is $173,437. This represents a relatively low barrier to entry for property acquisition, especially for those looking to diversify their portfolio with affordable housing options.
• Renters make up 20.7% of the local population. This statistic underscores a significant portion of the community that relies on rental properties, creating demand for well-managed units.
• The median household income is $80,765. While this figure supports a moderate level of economic stability, it also highlights that a substantial number of residents may qualify for the Section 8 program due to the difference between their income and the cost of living in the area.
• Data on days on market (DOM) is not available. However, this absence does not necessarily indicate poor market performance but rather a lack of recent sales activity, which could be beneficial for long-term investment strategies focusing on steady, rather than speculative, returns.

Investors considering the Kevil, KY market should note the favorable conditions presented by the combination of a moderate median home value and a higher FMR compared to the current market rent. The presence of a significant renter population, coupled with the median income levels, suggests a robust demand for subsidized housing. Despite the lack of DOM data, the overall economic stability and the potential for modest rental premiums make this area a sound choice for those seeking reliable, long-term rental investments.

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.