Section 8 Fair Market Rent (FMR) for ZIP 42234 - 2027

Location: Todd County, KY | Metro: Todd County, KY

Investment Score for ZIP 42234

C
Monthly Rent (2BR)
$1,110
Median Price (2BR)
$131,867
1% Rule
0.84%
Annual Yield
10.1%

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$790
1 Bedroom$850
2 Bedrooms$1,110
3 Bedrooms$1,320
4 Bedrooms$1,540
5 Bedrooms$1,786
6 Bedrooms$2,000
7 Bedrooms$2,160
8 Bedrooms$2,268

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,110 $131,867 0.84% C
3BR $1,320 $187,914 0.7% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
2,487
Median Household Income
$58,259
Housing Units
952
Renter Percentage
38.1%
Occupancy Rate
94.5%
Renter Occupied
343

The ZIP code 42234, encompassing Allensville, KY, presents a market characterized by stable yet dynamic conditions. The Fair Market Rent (FMR) for the area stands at $900, reflecting the metro region's forecast for fiscal year 2026. This figure slightly exceeds the actual market rent of $854 reported by the Census Bureau's American Community Survey, suggesting that the rental market is somewhat robust, with rents trending upwards to meet the FMR.

A median home value of $194,375 indicates a relatively affordable housing market, which could attract both renters and potential homeowners. However, the absence of specific data on price-cut shares and days on market (DOM) makes it challenging to definitively state whether supply currently outpaces demand or vice versa. Nonetheless, the affordability of homes combined with the proximity of market rents to the FMR suggests a balanced market with slight upward pressure.

The significant 38.1% share of renters in the area signals a substantial portion of the population prefers or is compelled to rent rather than own. This high percentage of renters can be indicative of long-term housing pressure, as it may suggest limited financial capacity among residents to purchase homes or a preference for renting due to economic uncertainties. It also points to a steady demand for rental properties, which is beneficial for landlords and small-portfolio investors looking to capitalize on consistent tenant interest.

In conclusion, while specific metrics on price cuts and DOM are missing, the overall snapshot of the market in ZIP 42234 reveals a scenario where rental demand is strong, and home values remain within an accessible range. This balance, coupled with the notable renter share, underscores a market where rental properties are likely to maintain their appeal, providing a solid investment opportunity for those focused on the rental sector.

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.