Location: Washington County, OH | Metro: Morgan 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 | $810 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,360 |
| 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 | $1,000 | $143,750 | 0.7% | D |
| 3BR | $1,360 | $206,969 | 0.66% | D |
| 4BR | $1,520 | $228,425 | 0.67% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 45744, located in Lowell, Ohio, within Washington County, are straightforward. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for fiscal year 2026 is set at $980. This is the maximum amount that the Housing Choice Voucher program will pay on behalf of eligible tenants. However, it's important to note that the local market rent for a similar unit is lower, at $882, based on Census ACS data.
A landlord participating in the Section 8 program should understand the components of the voucher payment. The total rental assistance is divided into two parts: the tenant's portion and the voucher reimbursement. The tenant's portion is typically 30% of their income, which can vary widely depending on the individual's financial situation. For simplicity, let’s assume the tenant's portion is around $250 for a two-bedroom apartment. This leaves the remaining balance to be covered by the voucher.
In addition to the base rent, there are utility allowances. These allowances vary but generally cover the cost of electricity, gas, water, and garbage. In ZIP 45744, the utility allowance for a two-bedroom apartment is approximately $200. This means that the voucher will cover the rest of the rent plus utilities up to the SAFMR limit of $980.
To calculate the actual reimbursement, subtract the tenant's portion and the utility allowance from the SAFMR. In this case, the voucher would reimburse the landlord $530 ($980 - $250 - $200).
This reimbursement structure means that landlords might see a surplus if the local market rent is below the SAFMR. In ZIP 45744, where the local market rent is $882, the landlord would receive the tenant's portion of $250 plus the voucher reimbursement of $530, totaling $780. This results in a surplus of $102 compared to the local market rent.
However, if the landlord charges more than the local market rent but less than the SAFMR, the landlord still benefits from the higher reimbursement rate without the risk of overpricing the unit. For instance, charging $900 instead of the market rate of $882 would still result in a surplus of $22 when the tenant's portion and utility allowance are considered.
Landlords must ensure that their units meet the required standards for participation in the Section 8 program. This includes passing an inspection for health and safety. The economic incentive to participate lies in the stability of rental income and the potential surplus over local market rates, which can be significant given the current figures in ZIP 45744.
In summary, landlords in ZIP 45744 can expect a stable income stream with a potential surplus when renting to tenants with Section 8 vouchers. The reimbursement gap or surplus for a two-bedroom apartment in this ZIP code is a surplus of $102 based on the local market rent and the SAFMR set for fiscal year 2026.
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.