Location: Starke County, IN | Metro: Starke County, IN
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 | $760 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $780 | $141,646 | 0.55% | F |
| 2BR | $1,010 | $171,557 | 0.59% | F |
| 3BR | $1,240 | $237,421 | 0.52% | F |
| 4BR | $1,590 | $295,221 | 0.54% | F |
| 5BR | $1,844 | $389,120 | 0.47% | F |
U.S. Census Bureau data (2024)
The ZIP code 46534, located in Knox, IN, within the Starke County metro area, serves as an ideal appreciation play within a Section 8 portfolio strategy. Despite the median home value being $174,900, significantly below the national average of $338,100, the housing market in Knox has shown robust growth. Over the past year, home appreciation has risen by 16.4%, outpacing the national average of 16.6%. This trend suggests that property values will likely continue to climb, providing landlords and small-portfolio investors with solid capital gains potential.
The median monthly rent for a 4-bedroom home in Knox is $1,100, while the Fair Market Rent (FMR) for the Starke County metro area in fiscal year 2026 is set at $960. This creates a positive spread for landlords who can leverage the FMR to ensure stable rental income. Additionally, the low 0.1% price-cut share and N/A-day days on market (DOM) indicate a strong demand for rental properties, which can help maintain occupancy rates and steady cash flow.
While the ZIP code does not offer significant opportunities for diversification due to the relatively low renter share of 15.5% and median income of $63,138, the primary focus should be on the appreciation potential. Investors can benefit from the growing property values, which have appreciated by 87.0% over the last decade, exceeding the national average of 101.1%. This makes ZIP 46534 a valuable addition to a Section 8 portfolio strategy, especially for those looking to capitalize on long-term growth rather than immediate high cash flow.
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.