Section 8 Fair Market Rent (FMR) for ZIP 44243 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

To determine if you should invest in ZIP 44243 for Section 8 properties, follow these steps:

Step 1: Debt Service Coverage

The Fair Market Rent (FMR) for ZIP 44243 in fiscal year 2024 is $1040. Does this amount cover the debt service on a property in this area?

• Yes: If the $1040 FMR can clear the debt service, proceed to Step 2.
• No: Do not invest in ZIP 44243 for Section 8 properties. The FMR does not provide sufficient income to cover your financial obligations.

Step 2: Market Rent Comparison

Is the market rent above, at, or below the FMR of $1040?

• Above: If the market rent exceeds $1040, consider that you might lose potential tenants who rely solely on Section 8 vouchers. However, it also indicates strong rental demand which could be beneficial for non-Section 8 units.
• At: If the market rent is around $1040, this ZIP code aligns well with the FMR, making it a suitable investment for Section 8 properties.
• Below: If the market rent is lower than $1040, it suggests that the area may be undervalued or there's an oversupply of rental properties. This scenario is favorable for attracting Section 8 tenants but might indicate weaker overall demand.

Step 3: Demand Analysis

Evaluate the percentage of renters and the days on market (DOM) to gauge demand.

• N/A% Renters + N/A-day DOM: If the percentage of renters is substantial and the DOM is low, there is strong demand for rental properties. This makes ZIP 44243 a viable option for Section 8 investments.
• It Depends: If the percentage of renters is moderate and the DOM is neither particularly high nor low, you need to weigh other factors such as property values, vacancy rates, and the local economy before making a decision.
• N/A% Renters + High-day DOM: If the percentage of renters is low and the DOM is high, there is insufficient demand for rental properties. Investing in Section 8 properties here would likely result in low occupancy rates and poor returns.

Note: Specific figures for market rent, percentage of renters, and days on market were not provided, so replace 'N/A' with actual data points for a precise analysis.

Data Sources: FMR data from HUD (2027). 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.