Location: Simpson County, KY | Metro: Bowling Green, KY HUD Metro FMR Area
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 | $940 |
| 1 Bedroom | $1,060 |
| 2 Bedrooms | $1,240 |
| 3 Bedrooms | $1,520 |
| 4 Bedrooms | $1,980 |
| 5 Bedrooms | $2,297 |
| 6 Bedrooms | $2,573 |
| 7 Bedrooms | $2,779 |
| 8 Bedrooms | $2,918 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,240 | $216,011 | 0.57% | F |
| 3BR | $1,520 | $279,283 | 0.54% | F |
U.S. Census Bureau data (2024)
ZIP code 42170, located in Bowling Green, KY, within Warren County, stands out due to its unique demographic and economic characteristics. With a population of 1,938 residents, it has a rental rate of 27.8%, indicating a modest but significant portion of the community relies on rented housing. The median income for the area is $96,111, reflecting a middle-class neighborhood where most households earn above the national average. The median home value is $294,274, suggesting that homeownership is relatively affordable compared to other parts of the country.
In terms of Section 8 voucher economics, the Fair Market Rent (FMR) for ZIP 42170 in fiscal year 2024 is set at $1,100. This is notably higher than the market rent, which according to the Census American Community Survey, is $858. Landlords participating in the Section 8 program can benefit from the higher FMR, as it provides a guaranteed income stream that exceeds typical market rates. This discrepancy between the FMR and market rent also indicates that there may be an opportunity for landlords to increase their rental income by accepting vouchers, without necessarily charging significantly more than the local market rate.
The data signature for ZIP 42170 suggests a stable environment, characterized by a steady median income and a reasonable median home value. The modest rental rate and the disparity between the FMR and market rent point towards a market that is well-supported by government assistance programs, ensuring a consistent demand for rental properties among low-income families. For small-portfolio investors, this stability offers a reliable investment option, particularly when considering the benefits of the Section 8 program.
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.