Location: Preble County, OH | Metro: Dayton-Kettering-Beavercreek, 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 | $820 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,090 | $184,321 | 0.59% | F |
| 3BR | $1,450 | $258,017 | 0.56% | F |
| 4BR | $1,530 | $339,066 | 0.45% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP 45338, located in Lewisburg, OH, within the Preble County, OH metro area, reveals several key points regarding its suitability for real estate investment, particularly for Section 8 landlords and small-portfolio investors.
The rent math does not favor Section 8 participation. The Fair Market Rent (FMR) for FY 2024 is set at $1010. However, the actual market rent, according to Census ACS data, stands at $863. This indicates that landlords participating in the Section 8 program would receive less than the average market rent, potentially impacting profitability.
Acquisition costs are moderate. The median home value in ZIP 45338 is $245,510. Unfortunately, specific data on days on market (DOM) and the percentage of homes requiring price cuts are not available. Despite these gaps, the median home value suggests a reasonable entry point for acquiring rental properties, assuming a favorable financing scenario.
Tenant demand is relatively low. The total population of ZIP 45338 is 4,761, with only 22.8% of residents being renters. This implies a limited pool of potential tenants, which could affect occupancy rates and the ability to quickly fill vacancies.
Verdict: While ZIP 45338 offers a moderate entry cost for property acquisition, the rent math does not align well with Section 8 participation due to the disparity between FMR and market rents. Additionally, the low renter share in the population suggests weak tenant demand. These factors collectively indicate that this area may not be an optimal choice for Section 8 landlords or small-portfolio investors seeking high returns and stable occupancy.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.