Location: Franklin County, IN | Metro: Cincinnati, OH-KY-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 | $780 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,400 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,070 | $190,445 | 0.56% | F |
| 3BR | $1,400 | $291,872 | 0.48% | F |
| 4BR | $1,420 | $371,446 | 0.38% | F |
U.S. Census Bureau data (2024)
The classification of ZIP 47012 (Brookville, IN) on the axes of yield and stability reveals a nuanced investment opportunity. On the yield axis, the Fair Market Rent (FMR) for the area stands at $990 for fiscal year 2024, while the market rent is lower at $809. This suggests that properties in this ZIP code can potentially be rented above the market rate, indicating a moderate yield potential. The median home value of $270,322 provides a solid base for rental property investments, though it's worth noting that the FMR is significantly higher than the market rent, which could imply an opportunity to increase rental income.
Moving to the stability axis, Brookville has a relatively low percentage of renters at 26.4%, which might suggest limited demand for rental properties. However, the average household income of $84,958 indicates a stable economic environment where residents have the financial capacity to pay higher rents. The lack of available data on days on market (DOM) makes it challenging to assess the speed at which rental properties are occupied, but the income figure supports a steady cash flow expectation.
In conclusion, ZIP 47012 leans towards being a steady-cashflow zone rather than a high-yield/low-stability flip-style market. The key figures supporting this classification include the higher FMR compared to the market rent, suggesting a moderate yield, and the stable household income, which underpins a reliable cash flow. Despite the lower percentage of renters, the economic strength of the area ensures that those who do rent can afford to pay closer to the FMR, making it a viable option for landlords and small-portfolio investors seeking consistent returns.
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.