Location: McCreary County, KY | Metro: McCreary 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 | $670 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,190 |
| 4 Bedrooms | $1,310 |
| 5 Bedrooms | $1,520 |
| 6 Bedrooms | $1,702 |
| 7 Bedrooms | $1,838 |
| 8 Bedrooms | $1,930 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $940 | $79,420 | 1.18% | B |
| 3BR | $1,190 | $121,426 | 0.98% | C |
| 4BR | $1,310 | $164,807 | 0.79% | D |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 42647 in Stearns, KY, is set at $970 for the metro area fiscal year 2026. This figure represents the payment standard for Section 8 housing vouchers, meaning that the government will pay up to $970 per month for a unit in this area, not the amount tenants will pay. Landlords should note that tenant contributions are based on their income, typically around 30%, and the rest is covered by the voucher.
In contrast, the average rent for the area is $564 according to the Census American Community Survey (ACS). This lower average rent suggests that the FMR of $970 provides a substantial buffer for landlords participating in the Section 8 program, ensuring they receive a competitive rate compared to market conditions.
The 11.6% renter share indicates that over one-eleventh of the population in Stearns, KY, are renters. This percentage reflects a moderate demand for rental properties, which can be beneficial for landlords looking to fill units through the Section 8 program. However, it also implies that there is limited competition among landlords, potentially making it easier to attract tenants but also reducing the urgency for potential Section 8 participants to offer premium accommodations.
The median household income in the area is approximately $100,561. While this figure is higher than the average rent, it does not directly impact the Section 8 program, where eligibility is determined by individual tenant income levels. For landlords considering purchasing a property for Section 8 rentals, this income level can influence the overall economic stability of the area and the potential for non-Section 8 tenants who might be willing to pay market rates.
Before committing to a Section 8 rental property, landlords must verify that their property meets the Housing Quality Standards (HQS). This inspection ensures that the unit is safe, decent, and sanitary, adhering to specific criteria that are necessary for participation in the program. The HQS verification is crucial because failing to meet these standards can result in reduced payments or even disqualification from the program.
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.