Section 8 Fair Market Rent (FMR) for ZIP 45069 - 2027

Investment Score for ZIP 45069

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	$1,450
1 Bedroom	$1,560
2 Bedrooms	$1,990
3 Bedrooms	$2,620
4 Bedrooms	$2,950
5 Bedrooms	$3,422
6 Bedrooms	$3,833
7 Bedrooms	$4,140
8 Bedrooms	$4,347

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
2BR	$1,990	$221,172	0.9%	C
3BR	$2,620	$359,460	0.73%	D
4BR	$2,950	$477,567	0.62%	D
5BR	$3,422	$660,529	0.52%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 45069 (West Chester, OH) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for West Chester, OH (ZIP 45069) in 2026 is set at $1880 for a two-bedroom unit. This represents approximately 19.7% of the median household income of $114,631, indicating that it is within the affordable range for many residents. However, the actual rent charged by landlords often exceeds these FMRs, which can create significant challenges for Section 8 voucher holders. For example, the Zillow median price for a two-bedroom home in this area is $216,642, which translates to a monthly mortgage payment of around $1083 if financed over 30 years at a typical interest rate. Adding property taxes, insurance, and maintenance costs, the total monthly cost could easily exceed the FMR of $1880. Therefore, landlords might prefer higher-paying tenants who do not rely on vouchers, leading to a constrained market for voucher holders. #### Affordability & Renter Profile With a population of 56,037 and a renter percentage of 23.2%, West Chester has a relatively small rental market compared to its overall housing stock. The occupancy rate of 97.6% suggests that the rental market is quite tight, with few vacancies available. Given the high median household income of $114,631, renters in this area are likely to be well-off individuals or families who can afford higher rents. The affordability of housing units is further strained by the high price-to-FMR ratio of 9.6x. This means that the median price of a two-bedroom home ($216,642) is nearly ten times the FMR ($1880). This discrepancy indicates that the rental market is significantly outpacing the FMR, making it difficult for low-income households to find affordable housing options. #### Investor Angle From an investor perspective, the ZIP code 45069 offers a mixed landscape. While the median home price is high, the rental market is tight, suggesting strong demand for rental properties. However, the FMRs are lower than what many landlords would charge, which could affect the cash flow potential of properties rented exclusively to Section 8 voucher holders. To determine if this ZIP code is cash-flow positive at FMR, we need to consider the total costs associated with owning and maintaining a rental property. Assuming a mortgage payment of $1083 for a two-bedroom home, and adding an estimated $300 for property taxes, $100 for homeowner’s insurance, and $100 for maintenance, the total monthly expenses would be around $1583. At an FMR of $1880, there would be a net positive cash flow of about $297 per month. However, this assumes that the property is fully occupied and the landlord is willing to accept the FMR. Given the high median income and tight rental market, the investment grade for this ZIP code is likely to be high. Investors who can secure long-term leases with stable tenants will benefit from the strong demand for rental properties. However, the reliance on Section 8 vouchers alone may not be sufficient to ensure profitability due to the lower FMRs compared to actual market rents. #### Specific Actionable Insights 1. **Focus on Higher-Rent Properties**: Given the high price-to-FMR ratio, investors should consider focusing on properties that can command higher rents. For instance, a three-bedroom unit with an FMR of $2480 may be more attractive to landlords and still fall within the affordability range for many residents. 2. **Consider Mixed-Income Developments**: To balance the financial needs of landlords and the affordability concerns of tenants, mixed-income developments can be a viable strategy. These developments offer a mix of market-rate and subsidized units, ensuring a steady cash flow while providing affordable housing options. 3. **Explore Government Incentives**: Investors should look into government incentives such as tax credits, grants, or other subsidies that can help offset the lower FMRs. For example, the Low-Income Housing Tax Credit (LIHTC) program can provide significant financial benefits for developers of affordable housing projects. #### Bottom Line For Section 8-focused investors, the ZIP code 45069 presents a challenging but potentially rewarding market. The tight rental market and high median income suggest strong demand for rental properties, but the lower FMRs compared to actual market rents mean that relying solely on Section 8 vouchers may not be financially viable. **Recommendation**: Hold. Investors should carefully evaluate their portfolio mix and consider diversifying into higher-rent properties or mixed-income developments to ensure a stable cash flow while still serving the needs of low-income households.

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.