Location: Monroe County, KY | Metro: Barren 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 | $680 |
| 1 Bedroom | $760 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,320 |
| 5 Bedrooms | $1,531 |
| 6 Bedrooms | $1,715 |
| 7 Bedrooms | $1,852 |
| 8 Bedrooms | $1,945 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $930 | $173,473 | 0.54% | F |
| 3BR | $1,230 | $204,757 | 0.6% | D |
U.S. Census Bureau data (2024)
The ZIP code 42166, located in Summer Shade, KY, is situated within the Monroe County, KY metro area. Its Fair Market Rent (FMR) for fiscal year 2026 is set at $870. Comparatively, the market rent for the same area stands at $902, indicating that it slightly exceeds the government-set FMR. The median home value in ZIP 42166 is $185,621, which is a key figure for both landlords and small-portfolio investors. Additionally, the renter share in this ZIP code is 20.5%.
To determine if ZIP 42166 represents a value pocket, a mid-tier neighborhood, or a premium sub-market within its metro, we can analyze the provided figures. A value pocket typically has lower market rents and home values compared to the average in the region, while a mid-tier neighborhood aligns closely with those averages. A premium sub-market usually has higher market rents and home values.
In ZIP 42166, the market rent of $902 is only marginally above the FMR of $870, suggesting that it may not be significantly more expensive than what the government deems fair. This, combined with the median home value of $185,621, indicates that it could be considered a mid-tier neighborhood within the Monroe County, KY metro. The home value is likely to be competitive for both landlords looking to invest and tenants seeking affordable housing options.
The renter share of 20.5% is notable. In many areas, a higher proportion of renters with lower home values can indicate a concentration of Section 8 housing. However, without specific data on the distribution of Section 8 units in ZIP 42166 versus other ZIP codes in Monroe County, we cannot definitively conclude that this ZIP is a Section 8 sweet spot. Nonetheless, the combination of a relatively high renter share and a below-average home value could suggest that there is potential for Section 8 activity in the area.
To make a precise determination about the status of ZIP 42166 within the Monroe County, KY metro, further analysis would be required, including a comparison of these figures against the broader county averages and trends in Section 8 participation. Nevertheless, based on the available data, ZIP 42166 appears to be a mid-tier neighborhood with some characteristics that might attract Section 8 tenants.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.