Location: Anderson, IN | Metro: Anderson, IN HUD Metro FMR Area
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 | $1,290 |
| 1 Bedroom | $1,300 |
| 2 Bedrooms | $1,700 |
| 3 Bedrooms | $2,230 |
| 4 Bedrooms | $2,230 |
| 5 Bedrooms | $2,587 |
| 6 Bedrooms | $2,897 |
| 7 Bedrooms | $3,129 |
| 8 Bedrooms | $3,285 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,700 | $171,704 | 0.99% | C |
| 3BR | $2,230 | $236,657 | 0.94% | C |
| 4BR | $2,230 | $354,124 | 0.63% | D |
U.S. Census Bureau data (2024)
The ZIP code 46051, located in Lapel, Indiana, presents an interesting scenario for both renters and landlords. The median household income stands at $78,333, which is a solid financial foundation for residents. However, when it comes to housing costs, the market rate for rent is $1,285 per month, according to the latest Census ACS data. This figure represents a significant portion of the average household's budget.
To put this into perspective, let’s consider the voucher payment standard set at $1,200 per month for the Fair Market Rent (FMR) in zip code 46051 for fiscal year 2024. While this is slightly below the market rate, it still offers a competitive price point for tenants who qualify for assistance. It means that for those relying on vouchers, they might face challenges finding units that accept the voucher amount within their budget.
Given that 27.8% of the 2,919 residents are renters, there is a notable segment of the population seeking housing. However, the affordability gap between the median income and the market rate rent suggests that many households may struggle to pay market rates without assistance. This could lead to increased competition among landlords for cash-paying tenants who can afford the full $1,285 monthly rent.
The takeaway for landlords is clear: while accepting Section 8 vouchers can ensure a steady stream of rental income, it might also limit your pool of potential tenants to those who can only afford the subsidized rate. On the other hand, focusing on cash-paying tenants allows you to capture a higher rental income but requires attracting a smaller subset of the market who can afford the premium. Landlords should carefully weigh these factors and consider diversifying their tenant mix to balance risk and reward.
In summary, the affordability gap in Lapel, IN, is a critical consideration for landlords. By understanding the financial landscape, landlords can make informed decisions about whether to prioritize voucher tenants or aim for cash-paying residents. This strategic approach will help landlords navigate the local rental market effectively.
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.