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 | $780 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,390 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,070 | $180,576 | 0.59% | F |
| 3BR | $1,390 | $206,375 | 0.67% | D |
| 4BR | $1,520 | $335,839 | 0.45% | F |
| 5BR | $1,763 | $395,222 | 0.45% | F |
U.S. Census Bureau data (2024)
The Section 8 thesis for ZIP code 45432, located in Beavercreek, OH, is based on the significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR is set at $990, while the Census ACS reports the market rent at $872. This represents a gap of $118, or approximately 13.5%, indicating that the FMR is higher than the market rent.
This scenario makes Beavercreek an attractive yield play for landlords and small-portfolio investors. The federal government will reimburse landlords at the higher FMR rate of $990, even though the market suggests that $872 would be sufficient. Therefore, landlords can effectively collect above-market rents without facing the risk of vacancy, as voucher holders are guaranteed to pay their portion of the rent.
In the context of Beavercreek, OH, where 21.2% of residents are renters, the median home value stands at $224,602, and the median income is $83,115, this gap becomes particularly advantageous. The relatively high median home value suggests a robust local economy, which supports the viability of the Section 8 program. Meanwhile, the median income indicates that many residents may struggle to afford market-rate housing, making them prime candidates for housing vouchers.
Landlords should consider the benefits of this gap carefully. Not only does it offer a higher rental income compared to the open market, but it also provides a stable tenant base. Voucher holders have incentives to maintain their tenancy, reducing turnover rates and associated costs. Furthermore, the demand for affordable housing in Beavercreek is likely to remain steady, given the economic conditions and the proportion of renters in the area.
However, it's important to note that participating in the Section 8 program comes with certain administrative responsibilities. Landlords must adhere to HUD regulations and undergo periodic inspections. Despite these requirements, the financial upside of renting to voucher tenants at rates above the open-market average makes it a compelling strategy for maximizing returns in Beavercreek, OH.
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.