Section 8 Fair Market Rent (FMR) for ZIP 47038 - 2027

Location: Switzerland County, IN | Metro: Cincinnati, OH-KY-IN HUD Metro FMR Area

Investment Score for ZIP 47038

N/A

Monthly Rent (2BR)

$1,010

Median Price (2BR)

$N/A

1% Rule

Annual Yield

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	$760
1 Bedroom	$780
2 Bedrooms	$1,010
3 Bedrooms	$1,230
4 Bedrooms	$1,370
5 Bedrooms	$1,589
6 Bedrooms	$1,780
7 Bedrooms	$1,922
8 Bedrooms	$2,018

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
3BR	$1,230	$259,297	0.47%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

1,006

Median Household Income

$46,101

Housing Units

652

Renter Percentage

12.2%

Occupancy Rate

76.5%

Renter Occupied

The ZIP code 47038, located in Indiana, offers a stable environment for real estate investment, particularly for those interested in the Section 8 housing voucher program. This area is characterized by a blend of residential neighborhoods that cater to various income levels, making it a prime location for both rental properties and owner-occupied homes.

Fair Market Rent (FMR) for ZIP 47038 in fiscal year 2024 is set at $990. This figure represents the maximum amount landlords can charge for a Section 8 voucher, ensuring a predictable revenue stream for investors participating in the program.
The market rent for the area is currently $720 per month. According to the latest Census American Community Survey (ACS), this indicates a lower baseline rent compared to the FMR, which could mean a higher demand for Section 8 vouchers among tenants.
The median home value in ZIP 47038 stands at $226,956. This price point makes the area accessible for a variety of buyers, while also offering potential for appreciation over time.
Renters make up 12.2% of the population in this ZIP code. Despite being a smaller percentage, this still represents a significant number of potential tenants who might benefit from Section 8 assistance.
The median household income in the area is $46,101. This figure suggests that many residents might qualify for Section 8 vouchers, given the income limits associated with the program.

In summary, ZIP 47038 presents a balanced market with a notable presence of potential Section 8 tenants. The gap between the market rent and the FMR provides an opportunity for landlords to offer affordable housing while still receiving a government-backed payment. With a median home value that is relatively low and a median income that aligns well with Section 8 eligibility criteria, the area is ripe for investors looking to secure steady returns through the Section 8 program. However, the relatively low renter share might indicate a need for strategic targeting of properties to attract voucher holders, ensuring a solid occupancy rate and financial stability.

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.