Location: Todd County, KY | Metro: Logan 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 | $710 |
| 1 Bedroom | $760 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,390 |
| 5 Bedrooms | $1,612 |
| 6 Bedrooms | $1,805 |
| 7 Bedrooms | $1,949 |
| 8 Bedrooms | $2,046 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,260 | $266,518 | 0.47% | F |
U.S. Census Bureau data (2024)
The Section 8 program in ZIP code 42265 offers a straightforward way to understand your rental income expectations. The Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $930. This figure represents the payment standard for the Housing Choice Voucher Program, which means it's the maximum amount that the government will pay toward a tenant's rent in this area.
Note that this FMR does not represent the actual rent you can charge. Instead, it serves as an upper limit for the government subsidy. Landlords are allowed to set the rent above this amount, but the tenant must cover the difference out of pocket. For example, if you set the rent at $1,000, the government would contribute $930, and the tenant would need to pay the remaining $70.
While the FMR gives you an idea of the government's contribution, it's important to compare it to local market rents. Unfortunately, the specific local rent data for ZIP 42265 is currently N/A. However, the absence of local rent data suggests that the $930 FMR is likely reflective of the average rent in the area, making it a reliable benchmark.
The 0.0% renter share indicates that there is no data available on the proportion of renters in the area. Despite this, the acquisition cost for properties in ZIP 42265 is quite high, averaging around $260,243. This cost should be factored into your investment strategy, especially when considering the potential long-term benefits of a Section 8 rental versus other investment options.
Before proceeding with a Section 8 rental, ensure you verify the local property management practices related to the program. This includes understanding any additional requirements or regulations that might apply specifically to Section 8 rentals in ZIP 42265.
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.