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 | $810 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,110 |
| 3 Bedrooms | $1,440 |
| 4 Bedrooms | $1,580 |
| 5 Bedrooms | $1,833 |
| 6 Bedrooms | $2,053 |
| 7 Bedrooms | $2,217 |
| 8 Bedrooms | $2,328 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,110 | $103,897 | 1.07% | B |
| 3BR | $1,440 | $190,391 | 0.76% | D |
| 4BR | $1,580 | $335,778 | 0.47% | F |
| 5BR | $1,833 | $442,464 | 0.41% | F |
U.S. Census Bureau data (2024)
The ZIP code 45414 is located in Dayton, Ohio, and represents a modest-sized neighborhood with a total population of 21,167 residents. Approximately 30.3% of these residents are renters, indicating a significant portion of the community lives in leased properties rather than owning them. The median household income in this area is $54,485, which places it in the middle range for the region. The median home value stands at $180,232, reflecting an affordable housing market.
Moving into the realm of rental economics, the Fair Market Rent (FMR) for ZIP 45414 in fiscal year 2024 is set at $950, while the market rent, as measured by Zillow's ZORI index, is $1,588. This substantial gap between the FMR and the actual market rent suggests opportunities for landlords and small-portfolio investors who are willing to engage in the local Section 8 housing market.
For a hands-off voucher operator, ZIP 45414 might present challenges due to the relatively low FMR compared to the higher market rents. Such operators would need to ensure their properties meet the criteria for Section 8 eligibility and are competitively priced to attract tenants. However, the lower FMR could also mean that the competition for Section 8 tenants is less intense, potentially simplifying the process of finding and retaining eligible tenants.
In contrast, a hands-on value-add buyer could find numerous opportunities in this ZIP code. With a median income of $54,485 and a median home value of $180,232, there is room to improve property values through renovations and upgrades, thereby increasing the potential rental income beyond the FMR. The disparity between FMR and market rent indicates that properties managed well can command higher rents once they are no longer dependent on the voucher program.
To conclude, ZIP 45414 offers a mix of challenges and opportunities for both hands-off and hands-on investors. For those willing to take a proactive role in property management and improvement, the potential for higher returns exists. Meanwhile, hands-off operators should carefully consider the local demand for Section 8 vouchers and the competition in the rental market.
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.