Location: Hopkins County, KY | Metro: Hopkins 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 | $720 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $980 |
| 3 Bedrooms | $1,290 |
| 4 Bedrooms | $1,440 |
| 5 Bedrooms | $1,670 |
| 6 Bedrooms | $1,870 |
| 7 Bedrooms | $2,020 |
| 8 Bedrooms | $2,121 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,290 | $257,966 | 0.5% | F |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 42436 in fiscal year 2026 is set at $980. This figure represents the payment standard for Section 8 housing vouchers, meaning that if you decide to participate in the Section 8 program, your rental income for a unit in this area will be capped at this amount. It's important to note that this is not the rent you charge; it's the maximum amount the Housing Authority will pay on behalf of a tenant. The local median rent for the area is currently listed as N/A, which suggests there might be limited data available or significant variance in rental rates.
The 26.6% renter share indicates that about 27 out of every 100 households in ZIP 42436 are renters. This percentage gives insight into the demand for rental properties in the area. With a higher proportion of renters, there is likely a steady demand for affordable housing options, making Section 8 participation a viable choice for landlords looking to fill vacancies.
If you're considering purchasing a property to use as a Section 8 rental, the median home value in the area is around $231,563. This can serve as a baseline when evaluating potential acquisition costs. Remember, the goal is to ensure that the monthly rental income, combined with any other income streams, covers your mortgage payments, maintenance costs, and other expenses associated with owning a rental property.
Before you proceed with participating in the Section 8 program, it's crucial to verify that your property meets the Housing Quality Standards (HQS). These standards ensure that the property is safe, decent, and sanitary for tenants. You can obtain a list of required items and guidance on how to prepare for the inspection from your local Housing Authority. Compliance with these standards is mandatory for acceptance into the program and for maintaining tenancy.
In summary, with an FMR of $980, you should expect the Housing Authority to pay up to this amount per month for a Section 8 tenant. Given the 26.6% renter share, there is a reasonable demand for rental units in ZIP 42436. When acquiring a property, aim for the median home value of approximately $231,563, and ensure your property passes the HQS inspection to avoid any issues with eligibility.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.