Location: Toledo, OH | Metro: Toledo, OH MSA
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 | $1,130 |
| 1 Bedroom | $1,210 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $2,020 |
| 4 Bedrooms | $2,150 |
| 5 Bedrooms | $2,494 |
| 6 Bedrooms | $2,793 |
| 7 Bedrooms | $3,016 |
| 8 Bedrooms | $3,167 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,580 | $240,133 | 0.66% | D |
| 3BR | $2,020 | $316,369 | 0.64% | D |
| 4BR | $2,150 | $428,235 | 0.5% | F |
| 5BR | $2,494 | $468,629 | 0.53% | F |
U.S. Census Bureau data (2024)
The median income in ZIP 43566, Waterville, OH, stands at $105,985. At first glance, this might suggest a relatively affluent area. However, when considering the market rate for rent, which is $1,408 according to the Census ACS, the financial landscape becomes more nuanced.
A household earning the median income would allocate approximately 15.5% of their monthly income towards rent at the market rate. This calculation is based on dividing the monthly rent ($1,408) by the monthly equivalent of the median income ($8,832), derived from $105,985. While this percentage is manageable, it highlights a significant portion of disposable income dedicated to housing costs.
Comparatively, the Fair Market Rent (FMR) set by HUD for ZIP 43566 in fiscal year 2024 is $1,370. This figure represents the maximum amount a household receiving a housing voucher can be expected to pay. The difference between the market rate and the FMR is minimal, standing at just $38 per month. This suggests that voucher payments closely align with the actual market conditions, providing a nearly equivalent rental value.
Given that only 19.9% of the population are renters and the total population is 8,604, the competition among landlords in Waterville is likely moderate. The relatively low percentage of renters indicates a smaller pool of potential tenants, which could lead to more competitive pricing strategies among landlords.
The affordability gap, where the market rate exceeds the median income's ability to cover housing expenses comfortably, means that landlords must consider the balance between accepting voucher tenants and those paying cash. Voucher tenants provide a steady, government-backed income stream but at slightly lower rates. Cash-paying tenants might offer higher rents but come with the risk of non-payment.
For landlords, the takeaway is clear: Waterville's rental market is tight, and the decision to accept vouchers should be weighed against the benefits of higher cash rents. Given the close alignment between market rates and FMRs, accepting vouchers is a viable strategy that can ensure consistent occupancy without significantly impacting revenue. Landlords should also be prepared to compete on price and quality to attract tenants in this moderately competitive market.
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.