Location: Van Wert County, OH | Metro: Mercer 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 | $760 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,390 |
| 5 Bedrooms | $1,612 |
| 6 Bedrooms | $1,805 |
| 7 Bedrooms | $1,949 |
| 8 Bedrooms | $2,046 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,000 | $174,641 | 0.57% | F |
| 3BR | $1,250 | $244,691 | 0.51% | F |
| 4BR | $1,390 | $262,614 | 0.53% | F |
U.S. Census Bureau data (2024)
In ZIP 45882, located in Rockford, OH, Mercer County, the Section 8 program operates under specific economic guidelines that directly impact landlords and small-portfolio investors. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $1,000. This figure represents the maximum amount that the housing authority will pay on behalf of a tenant receiving a Section 8 voucher.
However, the local market rent for a similar two-bedroom unit, according to Census ACS data, averages $732. This discrepancy highlights the economic reality faced by landlords in this area. To understand the actual payment structure, consider that the tenant is responsible for paying a portion of the rent, typically around 30% of their income, which is capped at the lower of either 30% of their income or the minimum rent set by the housing authority.
The voucher system also includes utility allowances, which can vary but generally aim to cover a reasonable estimate of the tenant's utility costs. These allowances are added to the base rental subsidy, making up the total reimbursement to the landlord. If a tenant’s income is low, the utility allowance might be the only additional payment beyond the base rent subsidy.
To illustrate, if a tenant's portion of the rent is $300, and the utility allowance is $150, then the total reimbursement to the landlord would be $1,000 + $150 = $1,150. However, since the local market rent is $732, the landlord would still receive the full market rent plus the utility allowance, totaling $882.
This calculation shows that even though the SAFMR is higher than the local market rent, landlords do not necessarily benefit from the higher subsidy rate. Instead, they receive the local market rent plus any applicable utility allowances. In this scenario, the typical reimbursement gap or surplus for a two-bedroom unit is a surplus of $150 per month, assuming the utility allowance is fully utilized. This surplus helps offset potential losses due to the lower market rent compared to the SAFMR.
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.