Section 8 Fair Market Rent (FMR) for ZIP 46319 - 2027
Location: Gary, IN | Metro: Gary, IN HUD Metro FMR Area
Investment Score for ZIP 46319
D
Monthly Rent (2BR)
$1,490
Median Price (2BR)
$211,488
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 | $1,160 |
| 1 Bedroom | $1,230 |
| 2 Bedrooms | $1,490 |
| 3 Bedrooms | $1,810 |
| 4 Bedrooms | $1,980 |
| 5 Bedrooms | $2,297 |
| 6 Bedrooms | $2,573 |
| 7 Bedrooms | $2,779 |
| 8 Bedrooms | $2,918 |
Investment Analysis by Bedroom Size
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms |
Monthly FMR |
Median Price |
1% Rule |
Grade |
| 2BR |
$1,490 |
$211,488 |
0.7% |
D |
| 3BR |
$1,810 |
$252,966 |
0.72% |
D |
| 4BR |
$1,980 |
$295,517 |
0.67% |
D |
| 5BR |
$2,297 |
$318,626 |
0.72% |
D |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$74,662
To determine if you should invest in ZIP 46319 (Griffith, IN) for Section 8 properties, follow this decision tree based on the provided data.
1) Does FMR $1240 (zip FY 2024) clear debt service on a $247,426 property?
- No: The Fair Market Rent (FMR) of $1240 does not sufficiently cover the debt service on a property valued at $247,426. Debt service typically includes mortgage payments, property taxes, insurance, and maintenance costs. At this valuation, the rental income from a Section 8 tenant would be insufficient to meet these obligations without additional subsidies or a lower purchase price.
2) Is market rent $1,291 (ZORI) above, at, or below FMR?
- Above FMR: The Zillow Observed Rent Index (ZORI) of $1291 is slightly higher than the FMR of $1240. This indicates that non-Section 8 tenants might be willing to pay a bit more than what the government will subsidize for a Section 8 unit. However, this margin is narrow and may not significantly offset the shortfall in covering debt service.
- At or Below FMR: If the market rent is at or below the FMR, then there is no premium to be gained from renting to non-Section 8 tenants. This makes the investment less attractive unless the property can be purchased for a price where the FMR covers all expenses.
3) Are 27.1% renters + N/A-day DOM enough demand?
- It Depends: With 27.1% of the population being renters, there is a moderate level of demand for rental properties in ZIP 46319. However, the lack of data on days on market (DOM) means we cannot accurately assess how quickly units are rented. A low DOM would suggest strong demand, whereas a high DOM would indicate weaker demand. Without this information, it's difficult to make a definitive judgment on whether the demand is sufficient to support an investment in Section 8 properties.
In conclusion, if your primary focus is on Section 8 properties, ZIP 46319 presents challenges due to the FMR not covering debt service on a $247,426 property. While the market rent is slightly above the FMR, indicating some potential for non-Section 8 rentals, the demand for rentals is moderate and requires further investigation into the local rental market dynamics.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.