Location: Adair County, KY | Metro: Adair 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 | $730 |
| 2 Bedrooms | $910 |
| 3 Bedrooms | $1,260 |
| 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 |
|---|---|---|---|---|
| 3BR | $1,260 | $185,683 | 0.68% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 42753 are defined by the SAFMR (Small Area Fair Market Rent) rates set by the Department of Housing and Urban Development (HUD). For a two-bedroom apartment in FY 2026, the SAFMR is $890. This figure represents the maximum amount that HUD will pay toward the rent for a unit in this specific ZIP code.
To understand how this affects landlords, it's essential to break down the components of a Section 8 voucher payment. A tenant with a voucher typically pays about 30% of their adjusted monthly income toward rent. The remainder is covered by the voucher, up to the SAFMR limit. In addition to the base rent, the voucher also includes an allowance for utilities, which can vary based on the size of the unit and the region.
For a two-bedroom unit in ZIP 42753, the total reimbursement to a landlord from HUD would be the sum of the tenant's contribution and the utility allowance, capped at $890. If the tenant's share plus the utility allowance exceeds $890, the excess is the responsibility of the tenant. Conversely, if the combined amounts fall below $890, the landlord still receives only up to the SAFMR limit.
Since the local market rent for 2BR units in ZIP 42753 is currently listed as N/A, it's difficult to provide a precise comparison between market rents and SAFMRs. However, assuming that the market rent is higher than the SAFMR, landlords would experience a reimbursement gap. This gap represents the difference between the market rent and the maximum reimbursement rate set by HUD. Landlords must decide whether to accept the lower payment or seek tenants outside the Section 8 program.
In summary, for a two-bedroom apartment in ZIP 42753, landlords can expect a maximum reimbursement of $890 per month from HUD. Any shortfall between this amount and the market rent must be borne by the landlord. Given the lack of specific local market rent data, it's impossible to quantify the exact reimbursement gap or surplus, but landlords should prepare for a potential gap if market conditions exceed the SAFMR.
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.