Location: Indianapolis-Carmel, IN | Metro: Indianapolis-Carmel, 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 | $1,170 |
| 1 Bedroom | $1,310 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $1,960 |
| 4 Bedrooms | $2,380 |
| 5 Bedrooms | $2,761 |
| 6 Bedrooms | $3,092 |
| 7 Bedrooms | $3,339 |
| 8 Bedrooms | $3,506 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,510 | $232,196 | 0.65% | D |
| 3BR | $1,960 | $340,308 | 0.58% | F |
| 4BR | $2,380 | $448,466 | 0.53% | F |
U.S. Census Bureau data (2024)
Lizton, IN, ZIP code 46149, is a small suburban neighborhood with a population of 1,952 residents. The area has a relatively low percentage of renters at 11.3%, indicating that it is predominantly a homeownership community. The median household income in this ZIP code stands at $88,750, reflecting a middle-class neighborhood where residents enjoy a comfortable standard of living. The median home value is notably high at $352,098, suggesting that the housing stock in this area is of good quality and is likely to attract families and individuals seeking stable and affordable living conditions.
The rent economics in ZIP 46149 present an interesting opportunity for investors. The Fair Market Rent (FMR) set by HUD for the fiscal year 2024 is $1,320, while the average market rent according to the Census Bureau's American Community Survey is $1,237. This indicates that the rental market in Lizton is slightly below the government's benchmark for affordability, which could be advantageous for both landlords and voucher holders. Landlords can potentially offer rents that are competitive with the market rate but still qualify for Section 8 vouchers, thus ensuring steady occupancy and a reliable source of income.
Considering the characteristics of ZIP 46149, it would be well-suited for a hands-off voucher operator due to the low percentage of renters and the high median home value, which suggests that properties here are likely to be in good condition and require minimal maintenance. However, for a hands-on value-add buyer, there might also be opportunities to improve and renovate existing rental units to command higher rents closer to the FMR, thereby increasing the property's profitability. The key for such an investor would be to identify properties that have potential for improvement without significantly exceeding the FMR threshold.
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.