Location: Dayton-Kettering-Beavercreek, 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 | $910 |
| 2 Bedrooms | $1,130 |
| 3 Bedrooms | $1,470 |
| 4 Bedrooms | $1,610 |
| 5 Bedrooms | $1,868 |
| 6 Bedrooms | $2,092 |
| 7 Bedrooms | $2,259 |
| 8 Bedrooms | $2,372 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,130 | $72,497 | 1.56% | A+ |
| 3BR | $1,470 | $100,890 | 1.46% | A |
| 4BR | $1,610 | $130,714 | 1.23% | A |
| 5BR | $1,868 | $164,580 | 1.14% | B |
U.S. Census Bureau data (2024)
The ZIP code 45406 in Dayton, OH, stands out within Montgomery County due to several key characteristics. With a population of 19,991 residents, it has a notable rental rate of 52.9%, indicating a significant portion of the community prefers leasing over homeownership. The median income here is $41,796, which is relatively modest compared to the median home value of $91,331. This suggests that homeownership might be challenging for many residents, further emphasizing the importance of the rental market.
Turning to the economic dynamics of Section 8 vouchers, the Fair Market Rent (FMR) for ZIP 45406 in fiscal year 2024 is set at $930. This figure contrasts sharply with the market rent, measured by the Zillow Observed Rental Index (ZORI), which is currently $1,115. Landlords and small-portfolio investors can leverage this disparity by accepting vouchers, ensuring a steady income stream while potentially offering more affordable housing options to tenants. The gap between FMR and market rent also highlights the financial assistance provided by Section 8 vouchers, making it an attractive option for both landlords and renters.
Evaluating the overall data signature of ZIP 45406, it appears to be in a transitional phase. While the high rental rate and the significant difference between median income and median home value suggest ongoing challenges in achieving homeownership, the availability of Section 8 vouchers provides a stable mechanism for rent support. This balance between financial stressors and supportive programs indicates a ZIP code where the rental market plays a crucial role in housing stability. For landlords and investors, this means an opportunity to participate in a system that ensures consistent tenant occupancy and predictable cash flow, despite broader economic uncertainties.
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.