Location: Ohio County, KY | Metro: Ohio 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 | $650 |
| 1 Bedroom | $690 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,410 |
| 5 Bedrooms | $1,636 |
| 6 Bedrooms | $1,832 |
| 7 Bedrooms | $1,979 |
| 8 Bedrooms | $2,078 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,180 | $225,369 | 0.52% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 42347 are defined by the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, which is set at $870 per month for fiscal year 2026. This figure represents the maximum amount that the housing authority will pay to landlords participating in the program for a unit of this size. However, it's important to understand that the actual reimbursement to landlords is based on a combination of factors including the tenant's contribution and utility allowances.
Local market rents in ZIP 42347 are significantly lower, running at an average of $586 per month according to the latest Census ACS data. This discrepancy highlights the financial dynamics landlords face when considering participation in the Section 8 program.
A voucher holder's rental payment is calculated as the higher of 30% of their adjusted income or a minimum rent set by the local housing authority. The tenant's portion is then subtracted from the SAFMR, and any remaining balance is covered by the government up to the $870 limit. Utility allowances can vary but are typically around $200 for a two-bedroom apartment. If a tenant's share plus utilities does not reach the $870 threshold, the landlord receives the full amount. Conversely, if the total exceeds $870, the landlord only receives the $870 maximum.
To illustrate, let's assume a tenant's share is $300 and the utility allowance is $200. The total reimbursement would be $500 ($300 + $200), which is less than the $870 SAFMR. In this case, the landlord would receive the full $870, creating a surplus over the local market rent of $586. The surplus for a landlord in this scenario would be $284 per month.
However, if the tenant's share is $670 and the utility allowance is $200, totaling $870, the landlord would still receive $870, but there would be no surplus since the reimbursement matches the SAFMR exactly. In situations where the tenant's share plus utilities exceeds $870, the landlord must accept the $870 maximum, leading to a potential reimbursement gap if the local market rent is higher than $870.
In ZIP 42347, given the SAFMR of $870 and the local market rent of $586, landlords can expect a typical surplus of $284 per month for a two-bedroom apartment when all factors are considered. This surplus provides a buffer above the local market rates, making Section 8 participation financially viable for most landlords in this area.
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.