Location: DeKalb County, IN | Metro: DeKalb 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 | $780 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,290 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,040 | $161,426 | 0.64% | D |
| 3BR | $1,290 | $216,523 | 0.6% | F |
| 4BR | $1,370 | $257,560 | 0.53% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 46738, located in Garrett, IN, within the DeKalb County metro area, reveals several key points. The HUD Fair Market Rent (FMR) for the area is set at $980 for fiscal year 2026, while the actual market rent based on Census ACS data stands at $879. This indicates that voucher tenants will cashflow at the FMR rate, providing a positive financial outcome for landlords and small-portfolio investors.
To further understand the investment potential, consider the median home value in the area, which is $204,807. Using this figure, we can derive the rent-to-price ratio, which is approximately 0.5%. This ratio suggests that the rental income is relatively low compared to the property values, indicating that appreciation may be a stronger investment angle than cashflow alone. However, the stability of the rental market remains robust due to the consistent demand for affordable housing.
Note that the median days on market (DOM) is not available, and there is an insignificant 0.1% share of homes that require price cuts. These factors imply that the local real estate market is stable and does not experience significant fluctuations, making it a reliable environment for long-term investments.
In summary, the strongest investor angle in ZIP 46738 is likely to be appreciation, given the favorable rent-to-price ratio and the stable market conditions. This makes it an attractive location for those looking to invest in properties that will grow in value over time, while still maintaining solid cashflow from voucher tenants.
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.