Section 8 Fair Market Rent (FMR) for ZIP 42456 - 2027

Location: Webster County, KY | Metro: Hopkins County, KY

Investment Score for ZIP 42456

N/A
Monthly Rent (2BR)
$1,110
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

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$800
1 Bedroom$850
2 Bedrooms$1,110
3 Bedrooms$1,490
4 Bedrooms$1,580
5 Bedrooms$1,833
6 Bedrooms$2,053
7 Bedrooms$2,217
8 Bedrooms$2,328

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
3BR $1,490 $203,401 0.73% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
1,533
Median Household Income
$59,500
Housing Units
804
Renter Percentage
12.8%
Occupancy Rate
97.3%
Renter Occupied
100

The ZIP code 42456, located within the Webster County, KY metro area, exhibits several characteristics that set it apart when compared to typical ZIP codes within the same county. The Fair Market Rent (FMR) for ZIP 42456 is $1,070 for fiscal year 2026, which is notably higher than the average market rent of $973. This discrepancy suggests that government-subsidized rents might be slightly above what the private market offers, potentially indicating a value pocket where subsidized tenants can afford homes that are somewhat pricier than the local market rate.

The median home value in ZIP 42456 stands at $189,884, which is likely reflective of the overall housing market conditions in Webster County, KY. This figure aligns with the general trend observed in the county, suggesting that 42456 does not represent a premium sub-market but rather fits into a mid-tier category in terms of property values.

A key indicator for potential investment opportunities in the context of Section 8 properties is the renter share, which for ZIP 42456 is 12.8%. While this percentage is not exceptionally high, it does suggest a modest level of rental activity. Typically, a higher renter share combined with lower-than-average home values can signal an attractive area for Section 8 investments, as it indicates a concentration of renters who may benefit from subsidized housing options.

In summary, ZIP 42456 appears to be a mid-tier neighborhood within the Webster County, KY metro area. Its slightly elevated FMR compared to the market rent and moderate renter share do not strongly indicate a premium sub-market, nor do they suggest it is a standout value pocket. However, the presence of a higher FMR than market rent does offer some advantage for landlords participating in Section 8 programs, as it allows them to charge closer to the fair market rates while still being accessible to subsidized tenants.

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.