Location: Indianapolis-Carmel, IN | Metro: Indianapolis-Carmel, IN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,100 |
| 1 Bedroom | $1,240 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,850 |
| 4 Bedrooms | $2,260 |
| 5 Bedrooms | $2,622 |
| 6 Bedrooms | $2,937 |
| 7 Bedrooms | $3,172 |
| 8 Bedrooms | $3,331 |
U.S. Census Bureau data (2024)
The ZIP code 46154, located within the Indianapolis-Carmel, IN HUD Metro FMR Area, presents a strategic opportunity for inclusion in a Section 8 portfolio. This area is best classified as a cash-flow anchor. The Fair Market Rent (FMR) for FY 2024 is set at $1290, which provides a stable baseline for rental income. While the specific market rent and median home values are not available, the FMR serves as a reliable indicator of the rental income that can be expected from properties in this area.
The stability of cash flow in ZIP 46154 is further reinforced by the high renter share, which stands at 100.0%. This means that all residents in the area are likely renters, ensuring a steady demand for rental properties. Landlords and small-portfolio investors should focus on the guaranteed income stream rather than speculative appreciation plays, given the lack of data on price-cut shares and days on market (DOM).
Incorporating ZIP 46154 into a Section 8 portfolio strategy allows investors to leverage the government's commitment to paying a fixed amount for rental units. This reduces the risk associated with market fluctuations and ensures a predictable source of revenue. The FMR of $1290 represents the maximum amount that will be paid for a unit in this area, providing a clear benchmark for pricing and management decisions.
While the absence of data on median income and other market specifics limits the ability to assess the broader economic context, the consistent rental income offered by the Section 8 program in this area makes it a strong candidate for a cash-flow anchor. Investors should prioritize properties that meet the necessary qualifications for the Section 8 program, including safety, health, and habitability standards, to ensure compliance and maximize the benefits of this strategy.
Data Sources: FMR data from HUD (2027). 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.