Section 8 Fair Market Rent (FMR) for ZIP 42724 - 2027

Investment Score for ZIP 42724

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

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

The ZIP code 42724, encompassing Cecilia, KY, is a small town located in Hart County, offering a quiet and serene living environment. The local economy is largely based on agriculture and small businesses, which contributes to a stable but modest income level among residents.

• The Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 42724 for fiscal year 2024 is set at $890.
• The average market rent for the same type of unit, according to Census ACS data, stands slightly higher at $989.
• The median home value in the area is $234,810, reflecting the overall housing affordability and property values.
• Renters make up 16.7% of the housing market, indicating that a significant portion of the population still prefers homeownership over renting.
• The median household income in the area is $73,465, providing insight into the financial capacity of potential tenants.
• Unfortunately, the exact number of days on the market (DOM) for rental properties could not be determined, as this data is currently marked as N/A for the area.

Given these data points, investors can expect a modest but stable rental market in Cecilia, KY. With the FMR and market rent being relatively close, there's a clear indication that rents are aligned with what the government considers fair. The median home value suggests that the area is affordable for both renters and buyers, and the median income provides a solid foundation for tenant reliability. However, the low percentage of renters implies a smaller pool of potential tenants, so landlords should focus on maintaining competitive rental rates and ensuring their properties meet the standards expected by the local market. Overall, ZIP 42724 presents a conservative investment opportunity, suitable for those looking for steady, if not spectacular, returns.

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.