Section 8 Fair Market Rent (FMR) for ZIP 45840 - 2027

Investment Score for ZIP 45840

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$840
1 Bedroom	$920
2 Bedrooms	$1,200
3 Bedrooms	$1,560
4 Bedrooms	$1,770
5 Bedrooms	$2,053
6 Bedrooms	$2,299
7 Bedrooms	$2,483
8 Bedrooms	$2,607

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$920	$130,974	0.7%	D
2BR	$1,200	$172,713	0.69%	D
3BR	$1,560	$242,788	0.64%	D
4BR	$1,770	$343,441	0.52%	F
5BR	$2,053	$420,927	0.49%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 45840 (Findlay, OH) #### Section 8 Voucher Dynamics In ZIP code 45840, the Fair Market Rent (FMR) for a two-bedroom unit is set at $1150 per month for the year 2026. This figure represents 20.3% of the median household income in the area, which stands at $68,083. However, it is important to note that the actual rent prices can vary significantly from these guidelines. The Zillow median price for a two-bedroom home in this ZIP code is $168,315, indicating a price-to-FMR ratio of 12.2x. This high ratio suggests that actual rental prices in the market might be higher than the FMR, creating potential challenges for voucher holders who are limited to the FMR amount. Given that the occupancy rate is 93.2%, there is a strong demand for housing, which could push actual rents above the FMR levels. For instance, if a voucher holder is looking for a three-bedroom unit, they would be constrained by the $1510 FMR limit, but actual market rents could exceed this amount, making it difficult to find suitable accommodation. #### Affordability & Renter Profile The renter population in ZIP code 45840 comprises 34.0% of the total population, indicating a significant portion of residents who rely on rental housing. With a median household income of $68,083, affordability is a key concern for renters. The FMR for a two-bedroom unit at $1150 is indeed affordable at 20.3% of the median income, but the actual rental prices in the market could be much higher due to the high occupancy rate and strong demand. This tight market condition means that many renters may struggle to find housing that fits within their budget. The high price-to-FMR ratio further exacerbates this issue, as it implies that the cost of renting is significantly higher than what the government considers fair. Therefore, the rental market in Findlay appears to be quite competitive, with limited options available for those on a tight budget. #### Investor Angle From an investor perspective, the ZIP code 45840 presents both opportunities and challenges. The FMR for a two-bedroom unit is $1150, but the actual rental prices in the market could be much higher, given the price-to-FMR ratio of 12.2x. This means that properties rented at the FMR level may not generate optimal cash flow compared to market rates. However, the strong demand for rental housing, as evidenced by the 93.2% occupancy rate, provides stability and a consistent tenant pool. To determine whether this ZIP code is cash-flow positive at the FMR level, we need to consider the typical expenses associated with property ownership. Assuming a conservative estimate of 30% of the rental income going towards expenses such as maintenance, utilities, and property taxes, the net income for a two-bedroom unit would be approximately $805 per month ($1150 - 30% of $1150). This net income is still a significant portion of the median income, suggesting that while the market is tight, it remains viable for investors willing to accept lower-than-market rents. The investment grade for this ZIP code can be considered moderate to good, given the steady demand and relatively stable rental market. However, investors should be aware of the potential for higher actual rental prices, which could affect the attractiveness of Section 8 properties. #### Specific Actionable Insights 1. **Focus on Multi-Bedroom Units**: Given the high FMR for multi-bedroom units, investors should consider focusing on three-bedroom and four-bedroom properties. These units have FMRs of $1510 and $1730 respectively, which are more aligned with the median income and provide better cash flow potential. 2. **Understand Local Rental Prices**: Investors should conduct thorough research into local rental prices to ensure they are setting rents appropriately. While the FMR provides a guideline, the actual market rates are likely to be higher, especially for smaller units. Understanding the local rental landscape will help in optimizing investment returns. 3. **Prepare for Strong Demand**: With an occupancy rate of 93.2%, there is a high likelihood of strong demand for rental properties. Investors should be prepared to manage their properties effectively to maintain high occupancy levels and avoid vacancies. Additionally, they should be ready to compete with other landlords for tenants, particularly those on Section 8 vouchers. #### Bottom Line For Section 8-focused investors, ZIP code 45840 offers a mixed picture. The strong demand for rental housing and the relatively high FMRs make it a potentially attractive market. However, the high price-to-FMR ratio indicates that actual market rents are significantly higher, which could pose challenges for voucher holders. Based on the data provided, the recommendation for investors is to **Hold**. While the market is tight and competition is high, the demand for rental housing is robust, and the FMRs are reasonable relative to the median income. Investors should focus on larger units to maximize cash flow and be prepared to navigate the complexities of the local rental market.

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.