Section 8 Fair Market Rent (FMR) for ZIP 46036 - 2027

Location: Grant County, IN | Metro: Anderson, IN HUD Metro FMR Area

Investment Score for ZIP 46036

Monthly Rent (2BR)

$1,200

Median Price (2BR)

$125,538

1% Rule

0.96%

Annual Yield

11.47%

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	$910
1 Bedroom	$920
2 Bedrooms	$1,200
3 Bedrooms	$1,570
4 Bedrooms	$1,580
5 Bedrooms	$1,833
6 Bedrooms	$2,053
7 Bedrooms	$2,217
8 Bedrooms	$2,328

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$920	$90,987	1.01%	B
2BR	$1,200	$125,538	0.96%	C
3BR	$1,570	$172,691	0.91%	C
4BR	$1,580	$212,335	0.74%	D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

11,683

Median Household Income

$62,074

Housing Units

5,262

Renter Percentage

27.1%

Occupancy Rate

89.2%

Renter Occupied

1,272

The ZIP code 46036, located in Elwood, Indiana, offers a unique blend of rural charm and suburban convenience. Situated within a short drive to larger metropolitan areas, it attracts a mix of residents seeking a quieter lifestyle while still being close to urban amenities. This area provides a stable environment for real estate investment, particularly for those interested in the rental market.

The Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 46036 for fiscal year 2024 is set at $1050, indicating the government's benchmark for affordable housing.
The actual market rent, as measured by Zillow's ZORI index, stands at $883, suggesting that the rental market is slightly below the FMR but still competitive.
The median home value in the area is $149,152, which is relatively low compared to surrounding regions, making it accessible for first-time homebuyers and investors alike.
Renters make up 27.1% of the population, showing a moderate demand for rental properties.
The days on market (DOM) for listings is 28 days, reflecting a fairly quick turnover rate for properties once they're listed.
The median household income is $62,074, providing insight into the economic stability and spending power of the local residents.

In summary, Elwood, IN (ZIP 46036) presents a balanced market with moderate rental demand and competitive pricing. The discrepancy between the FMR and the actual market rent suggests potential for rental growth, especially if investors can offer well-maintained properties. The quick turnover rate indicates a healthy market where properties are moving quickly, reducing holding costs and vacancy rates. Given the median home values and income levels, there is a strong foundation for both rental and homeownership investments, making it a favorable location for landlords and small-portfolio investors looking for stable returns.

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.