Location: Starke County, IN | Metro: South Bend-Mishawaka, 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 | $830 |
| 1 Bedroom | $1,000 |
| 2 Bedrooms | $1,170 |
| 3 Bedrooms | $1,420 |
| 4 Bedrooms | $1,540 |
| 5 Bedrooms | $1,786 |
| 6 Bedrooms | $2,000 |
| 7 Bedrooms | $2,160 |
| 8 Bedrooms | $2,268 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,000 | $148,262 | 0.67% | D |
| 2BR | $1,170 | $190,042 | 0.62% | D |
| 3BR | $1,420 | $263,213 | 0.54% | F |
| 4BR | $1,540 | $323,983 | 0.48% | F |
| 5BR | $1,786 | $380,080 | 0.47% | F |
U.S. Census Bureau data (2024)
The dynamics of ZIP 46563, located in Plymouth, Indiana, reveal a market in motion. With a Fair Market Rent (FMR) set at $1020 for fiscal year 2024 and a market rent (ZORI) of $1,230, there is a notable gap between government-subsidized rental rates and the actual market rates. This suggests that landlords can charge above the subsidized rate, indicating a market where demand is robust enough to support higher rents.
The 0.2% price-cut share is an indicator of minimal pressure on property owners to reduce their asking prices. This low figure implies that the market is stable, with buyers willing to meet the listed prices without significant concessions. The median home value of $240,380 also points towards a healthy real estate market, where homes are valued sufficiently but not excessively inflated, maintaining a balance between affordability and market demand.
A 26.6% renter share in the area indicates a substantial portion of the population relies on renting rather than owning homes. This high percentage of renters can be interpreted as a sign of long-term housing pressure, suggesting that many residents may struggle with homeownership due to various factors such as economic conditions or personal preferences. As a result, the rental market remains vital and potentially resilient against downturns, as it caters to a consistent segment of the population.
In summary, ZIP 46563 appears to be a market where demand is likely keeping pace with or slightly exceeding supply, given the stable median home values and the minimal need for price cuts. The rental market is robust, with a significant share of the population choosing or needing to rent, which could provide steady income for landlords and small-portfolio investors. However, the absence of days on market (DOM) data prevents a complete picture of the speed at which properties are being sold, leaving some uncertainty about the exact balance between supply and demand in the housing market.
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.