Section 8 Fair Market Rent (FMR) for ZIP 46157 - 2027

Location: Indianapolis-Carmel, IN | Metro: Indianapolis-Carmel, IN HUD Metro FMR Area

Investment Score for ZIP 46157

F
Monthly Rent (2BR)
$1,080
Median Price (2BR)
$256,239
1% Rule
0.42%
Annual Yield
5.06%

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$830
1 Bedroom$940
2 Bedrooms$1,080
3 Bedrooms$1,400
4 Bedrooms$1,700
5 Bedrooms$1,972
6 Bedrooms$2,209
7 Bedrooms$2,386
8 Bedrooms$2,505

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,080 $256,239 0.42% F
3BR $1,400 $293,350 0.48% F
4BR $1,700 $313,070 0.54% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
4,558
Median Household Income
$86,250
Housing Units
1,712
Renter Percentage
10.1%
Occupancy Rate
97.6%
Renter Occupied
169

The ZIP code 46157, located in Monrovia, Indiana, is notable for its low rental rate compared to other areas, with only 10.1% of its 4,558 residents living in rented properties. The median household income here stands at a robust $86,250, which is higher than many surrounding ZIP codes. Additionally, the median home value is quite substantial at $303,763, indicating that homeownership is both prevalent and valued in this community.

Moving into the specifics of Section 8 housing, the Fair Market Rent (FMR) for ZIP 46157 in fiscal year 2024 is set at $1,120. However, the actual market rent, according to the Census American Community Survey (ACS), is significantly lower at $821. This discrepancy means that landlords accepting Section 8 vouchers in this area can potentially charge a premium over the market rate, making it an attractive option for those looking to maximize their rental income while providing affordable housing options.

The data signature for ZIP 46157 reads as stable. With a high median income and home values, the local economy appears resilient. The relatively low percentage of renters suggests that homeownership is a significant factor in the community's makeup, which can contribute to long-term stability and predictability for landlords and small-portfolio investors.

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.