Location: Preble County, OH | Metro: Darke County, OH
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 | $770 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,000 | $154,029 | 0.65% | D |
| 3BR | $1,330 | $219,699 | 0.61% | D |
| 4BR | $1,400 | $296,076 | 0.47% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 45347, encompassing New Paris, OH, and the broader Preble County, OH metro area, reveals key insights for landlords and small-portfolio investors.
Firstly, the rent math does not align favorably. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $970, whereas the current market rent, as per Census ACS data, stands at $766. This discrepancy suggests that landlords aiming to charge FMR rates may face challenges in finding tenants willing to pay the higher amount.
Secondly, the acquisition cost is relatively low, with a median home value of $200,442. However, the lack of data on days on market (DOM) and the percentage of homes needing price cuts indicates an incomplete picture. Investors should consider these factors to determine if the area supports quick sales without significant discounts.
Lastly, tenant demand is modest. With a total population of 4,095, only 16.7% are renters. This implies a smaller pool of potential tenants compared to areas with higher renter shares. The limited rental market could lead to increased competition among landlords for a smaller number of tenants.
Verdict: ZIP 45347 presents a mixed opportunity for real estate investment. While the acquisition cost is reasonable, the mismatch between FMR and market rent, along with the lower tenant demand, suggests that achieving high rental yields will be challenging. Investors should carefully assess local market conditions and consider diversifying their portfolios beyond this zip code for better returns.
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.