Location: Miami County, IN | Metro: Kokomo, IN MSA
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 | $830 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,420 |
| 5 Bedrooms | $1,647 |
| 6 Bedrooms | $1,845 |
| 7 Bedrooms | $1,993 |
| 8 Bedrooms | $2,093 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,020 | $165,181 | 0.62% | D |
| 3BR | $1,350 | $214,355 | 0.63% | D |
| 4BR | $1,420 | $249,544 | 0.57% | F |
U.S. Census Bureau data (2024)
The analysis of ZIP code 46932, located in Galveston, IN, within the Miami County, IN metro area, reveals several key points for landlords and small-portfolio investors.
The rent math does not work in favor of landlords. The Fair Market Rent (FMR) set at $860 for fiscal year 2024 is significantly higher than the market rent of $655 based on Census ACS data. This discrepancy suggests that landlords might struggle to find tenants willing to pay the higher FMR rate, leading to potential vacancies or reduced profitability.
Acquisition in this area is moderately affordable, with a median home value of $204,002. However, the lack of data on days on market (DOM) and the percentage of homes that require price cuts indicates an incomplete picture of the local housing market dynamics. Without these metrics, it's challenging to gauge how quickly properties can be sold or whether they often need to be discounted to attract buyers.
Tenant demand is relatively low in ZIP 46932. With a total population of 3,066, only 21.2% of residents are renters. This means that there are approximately 650 potential rental households, which could limit the pool of prospective tenants for rental properties.
Verdict: While the median home value in ZIP 46932 presents a moderate entry point for property acquisition, the mismatch between the FMR and actual market rents, along with the limited tenant demand, suggests that this area may not be optimal for generating high returns on investment. Landlords should carefully consider the risks associated with potentially higher vacancy rates and lower-than-expected rental income before investing in this ZIP code.
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.