Location: Kokomo, IN | Metro: Kokomo, IN MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $920 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,190 |
| 3 Bedrooms | $1,430 |
| 4 Bedrooms | $1,650 |
| 5 Bedrooms | $1,914 |
| 6 Bedrooms | $2,144 |
| 7 Bedrooms | $2,316 |
| 8 Bedrooms | $2,432 |
U.S. Census Bureau data (2024)
The ZIP Code 46937, located in Hemlock, IN, within the Kokomo, IN MSA, is best suited as a diversifier in a Section 8 portfolio strategy. The median income for this area is not available, but the total population is only 114 people, which suggests a small and potentially less competitive rental market. With a renter share of 0.0%, there is limited reliance on rental properties, making this ZIP Code a unique addition to a portfolio.
The Fair Market Rent (FMR) for ZIP 46937 in fiscal year 2024 is set at $980, which can be used as a benchmark for rental pricing. However, without specific market data on median home values or appreciation rates, it is difficult to assess this ZIP Code as a cash-flow anchor or an appreciation play. The lack of nearby businesses and employment opportunities also supports the diversification argument, as it reduces the risk associated with economic downturns that might impact larger urban centers.
In summary, ZIP 46937 should be considered a diversifier in a Section 8 portfolio due to its low population density, minimal renter share, and the absence of significant local economic activity. This ZIP Code provides a stable, albeit smaller, rental income stream that can help balance out a portfolio with higher-risk, higher-reward investments in more economically dynamic areas.
Data Sources: FMR data from HUD (2027). 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.