Location: Gary, IN | Metro: Gary, 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 | $1,230 |
| 1 Bedroom | $1,300 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $1,920 |
| 4 Bedrooms | $2,100 |
| 5 Bedrooms | $2,436 |
| 6 Bedrooms | $2,728 |
| 7 Bedrooms | $2,946 |
| 8 Bedrooms | $3,093 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,300 | $143,389 | 0.91% | C |
| 2BR | $1,580 | $259,731 | 0.61% | D |
| 3BR | $1,920 | $335,783 | 0.57% | F |
| 4BR | $2,100 | $419,067 | 0.5% | F |
| 5BR | $2,436 | $485,460 | 0.5% | F |
U.S. Census Bureau data (2024)
The ZIP code 46303, located in Cedar Lake, IN, is home to 17,680 residents, with 13.5% being renters. The median household income in this area stands at $84,211, indicating a relatively affluent community. However, despite the higher income levels, the rental market is still present and has its dynamics.
The market rent for the area is $1,623, which represents approximately 19.3% of the median household income. This figure suggests that while the cost of renting is significant, it is manageable for most households given their income levels. Comparatively, the Fair Market Rent (FMR) for ZIP 46303 is set at $1,280 for FY 2024, which is notably lower than the actual market rent. This difference implies that landlords might face challenges in attracting tenants who rely solely on Section 8 vouchers, as these vouchers may not cover the full market rent.
In terms of tenant profiles, landlords in ZIP 46303 can expect a mix of individuals and families who are likely to be employed but still require assistance with housing costs. Given the discrepancy between the market rent and the FMR, landlords may need to consider offering competitive rates or additional incentives to attract Section 8 tenants. Alternatively, they could seek out tenants who supplement their voucher with personal funds, ensuring a more stable rental income.
To summarize, ZIP 46303 is not a renter-heavy area with deep voucher demand. Instead, it is an area where homeownership dominates, and vouchers are less common. Landlords should be prepared to cater to a niche market of tenants who have access to Section 8 vouchers but may also need to contribute extra to meet the market rent of $1,623. The expectation is that these tenants will be financially responsible and capable of managing the gap between the voucher amount and the actual rent.
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.