Section 8 Fair Market Rent (FMR) for ZIP 46970 - 2027

Location: Wabash County, IN | Metro: Cass County, IN

Investment Score for ZIP 46970

C
Monthly Rent (2BR)
$1,040
Median Price (2BR)
$111,500
1% Rule
0.93%
Annual Yield
11.19%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$780
1 Bedroom$850
2 Bedrooms$1,040
3 Bedrooms$1,240
4 Bedrooms$1,450
5 Bedrooms$1,682
6 Bedrooms$1,884
7 Bedrooms$2,035
8 Bedrooms$2,137

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $850 $86,597 0.98% C
2BR $1,040 $111,500 0.93% C
3BR $1,240 $162,273 0.76% D
4BR $1,450 $203,513 0.71% D
5BR $1,682 $253,992 0.66% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
23,020
Median Household Income
$57,842
Housing Units
10,251
Renter Percentage
28.5%
Occupancy Rate
88.0%
Renter Occupied
2,569

The rent math in ZIP 46970 (Peru, IN, Wabash County, IN metro) is favorable but tight. The Federal Market Rent (FMR) for FY 2026 is set at $990, while the actual market rent, as measured by ZORI, is $947. This indicates that landlords can potentially align their rental income with government standards, though they must remain competitive with slightly lower market rates.

Acquisition in this area is relatively affordable. The median home value stands at $148,156, which is below many metropolitan areas. Although the days on market (DOM) data is unavailable, the low 0.2% price-cut share suggests that homes are selling close to their asking prices, indicating a stable market where properties are valued appropriately.

Tenant demand is present, albeit moderate. With a population of 23,020, the renter share is 28.5%, translating to approximately 6,555 renters. This figure provides a reasonable pool of potential tenants for landlords and small-portfolio investors.

In conclusion, ZIP 46970 offers a balanced opportunity for real estate investment. While the rent math is workable, it requires careful management to stay competitive. Acquisition costs are affordable, and the market stability is reflected in the minimal need for price adjustments. Tenant demand is steady, ensuring a consistent supply of renters. However, investors should be prepared for modest margins and a focus on cost-effective property management to maximize returns.

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.