Location: Clinton County, IN | Metro: Lafayette-West Lafayette, 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 | $880 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,460 |
| 4 Bedrooms | $1,800 |
| 5 Bedrooms | $2,088 |
| 6 Bedrooms | $2,339 |
| 7 Bedrooms | $2,526 |
| 8 Bedrooms | $2,652 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,120 | $189,324 | 0.59% | F |
| 3BR | $1,460 | $259,426 | 0.56% | F |
| 4BR | $1,800 | $301,515 | 0.6% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP 46058, which includes Mulberry, IN in Clinton County, revolve around the Specific Area Fair Market Rent (SAFMR) and the local market rent figures. For a two-bedroom apartment, the SAFMR for FY 2024 is set at $1070. This rate is specifically tailored for this ZIP code, reflecting the unique housing conditions and costs here.
Local market rent, according to Census ACS data, averages $907 for a similar two-bedroom unit. When a landlord participates in the Section 8 program, they receive payments based on the SAFMR, but there's a specific formula that determines the actual reimbursement amount.
The voucher payment structure includes both the tenant portion and utility allowances. Typically, the tenant pays 30% of their adjusted income towards rent, and this amount is subtracted from the total SAFMR to determine the landlord's reimbursement. Utility allowances vary but can add up to an additional $100 to $200 per month to the total reimbursement.
To illustrate, if a tenant's 30% contribution is $300, the landlord would be reimbursed the difference between the SAFMR and this contribution, plus any applicable utility allowance. So, the reimbursement would be $1070 - $300 = $770, plus say $150 for utilities, making it $920 in total. This example shows how the reimbursement amount is calculated.
In ZIP 46058, given the local market rent is lower than the SAFMR at $907, landlords participating in Section 8 might see a surplus when compared to the average market rates. In this case, the typical surplus for a two-bedroom unit would be $920 - $907 = $13 per month, assuming the reimbursement is close to the upper end of our example. This surplus provides landlords with a slight financial advantage over market rates, making Section 8 participation financially viable in this area.
Note that these figures and calculations are simplified examples. Actual reimbursements depend on the tenant's income and other factors, but they provide a clear framework for understanding the economics involved.
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.