Section 8 Fair Market Rent (FMR) for ZIP 42086 - 2027

Location: McCracken County, KY | Metro: McCracken County, KY HUD Metro FMR Area

Investment Score for ZIP 42086

D
Monthly Rent (2BR)
$1,250
Median Price (2BR)
$178,721
1% Rule
0.7%
Annual Yield
8.39%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$870
1 Bedroom$1,020
2 Bedrooms$1,250
3 Bedrooms$1,490
4 Bedrooms$1,790
5 Bedrooms$2,076
6 Bedrooms$2,325
7 Bedrooms$2,511
8 Bedrooms$2,637

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,250 $178,721 0.7% D
3BR $1,490 $258,818 0.58% F
4BR $1,790 $379,026 0.47% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
3,775
Median Household Income
$77,591
Housing Units
1,603
Renter Percentage
16.3%
Occupancy Rate
85.7%
Renter Occupied
224

The Fair Market Rent (FMR) for ZIP code 42086, which covers Kevil, Kentucky, is set at $1,160 for the metro area in fiscal year 2026. This figure represents the payment standard for landlords participating in the Section 8 program, but it does not necessarily reflect the actual rent that tenants will pay. The actual rent paid by tenants under Section 8 is based on a percentage of their income, typically around 30%, with the government covering the difference up to the FMR.

To put this into perspective, the average market rent in Kevil, as reported by the Census Bureau's American Community Survey, is $1,033. This means that landlords who join the Section 8 program can expect to receive a slightly higher rent than the typical market rate, which can be beneficial for maintaining cash flow and property upkeep.

Approximately 16.3% of residents in Kevil are renters, indicating a moderate level of demand for rental properties. However, the demand for affordable housing under the Section 8 program can be even higher, as it specifically targets low-income individuals and families who struggle to find suitable housing within their budget.

When considering acquiring a property in Kevil for a Section 8 rental, the median home value is around $220,987. This is an important figure to keep in mind when evaluating potential returns on investment and the overall financial viability of the project.

Before making the decision to participate in the Section 8 program with a rental property in Kevil, it is crucial to verify that the property meets all the required standards and specifications. Specifically, ensure that the property passes the Housing Quality Standards (HQS) inspection, which is a mandatory requirement for all Section 8 rentals. This inspection ensures that the property is safe, decent, and sanitary for tenants to live in.

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.