Section 8 Fair Market Rent (FMR) for ZIP 43207 - 2027

Investment Score for ZIP 43207

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	$1,120
1 Bedroom	$1,190
2 Bedrooms	$1,420
3 Bedrooms	$1,690
4 Bedrooms	$1,930
5 Bedrooms	$2,239
6 Bedrooms	$2,508
7 Bedrooms	$2,709
8 Bedrooms	$2,844

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
1BR	$1,190	$130,997	0.91%	C
2BR	$1,420	$173,734	0.82%	C
3BR	$1,690	$205,035	0.82%	C
4BR	$1,930	$263,536	0.73%	D
5BR	$2,239	$281,129	0.8%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 43207 (Columbus, OH) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) figures for ZIP code 43207 in Columbus, OH, provide insight into the rental market dynamics for Section 8 voucher holders. The FMRs for 2026 are as follows: - 0BR: $960 - 1BR: $1040 - 2BR: $1240 (which is 23.5% of the median household income) - 3BR: $1490 - 4BR: $1670 These figures represent the maximum amount that a voucher holder can pay for rent based on the size of their unit. However, the actual rents in the area might exceed these limits, creating constraints for voucher holders. For instance, the Zillow median price for a 2BR property is $173,677, which translates to a monthly mortgage payment of approximately $1,170 assuming a 30-year fixed-rate mortgage at 5%. This means that even if a landlord charges only the FMR of $1240 for a 2BR unit, it would still be challenging for a voucher holder to cover the remaining balance, especially given that the FMR represents only 23.5% of the median household income. Therefore, voucher holders may face difficulties finding affordable units within the FMR limits. #### Affordability & Renter Profile ZIP code 43207 has a population of 47,272, with 41.0% being renters. The occupancy rate stands at 90.6%, indicating a relatively tight market where most available units are occupied. Given that the median household income is $63,310, the affordability of housing is a significant concern. The FMR for a 2BR unit is $1240, which is 23.5% of the median income, suggesting that the majority of residents can afford this level of rent. However, the high price-to-FMR ratio of 11.7x implies that property values are significantly higher than the FMR, making it difficult for low-income households to find affordable housing options. This ZIP code likely attracts a mix of low- to middle-income renters who are seeking affordable living spaces. The tight market conditions mean that there is a strong demand for rental properties, but the supply may not meet the needs of all residents, particularly those relying on Section 8 vouchers. #### Investor Angle From an investor perspective, the cash flow potential at FMR levels needs to be carefully evaluated. The FMR for a 2BR unit is $1240, while the Zillow median price suggests a monthly mortgage payment of around $1,170. This leaves a small margin for profit, especially considering other expenses such as maintenance, insurance, and property taxes. To determine the investment grade, we need to consider the overall financial viability of renting properties at FMR levels. Assuming a conservative estimate of additional costs at $200 per month, the net cash flow would be approximately $1240 - $1,170 - $200 = -$30 per month. This negative cash flow indicates that investing in this ZIP code at FMR levels may not be financially viable unless the investor can leverage other benefits such as tax incentives or long-term appreciation. #### Specific Actionable Insights 1. **Focus on Smaller Units**: Given the high price-to-FMR ratio, smaller units like 0BR and 1BR may offer better opportunities for cash flow. The FMR for a 0BR unit is $960, and for a 1BR unit, it is $1040. These lower rent ceilings could make it easier to manage expenses and maintain profitability. 2. **Consider Long-Term Appreciation**: While the current cash flow may be negative, the potential for long-term appreciation in property values should be considered. If the investor plans to hold the property for several years, the increase in property value could offset initial losses and provide a solid return on investment. 3. **Utilize Tax Incentives**: Investors should explore tax incentives and programs designed to support affordable housing. These benefits can help offset the negative cash flow and improve the overall financial picture. #### Bottom Line For Section 8-focused investors, the ZIP code 43207 presents a challenging environment due to the high price-to-FMR ratio and tight market conditions. The recommendation is to **Skip** this ZIP code for immediate cash flow-positive investments. However, if an investor is willing to take a longer-term view and can leverage tax incentives, they might consider **Hold** as a strategy for potential appreciation. Overall, the current market dynamics do not favor immediate profitable investments at FMR levels.

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.