Section 8 Fair Market Rent (FMR) for ZIP 47203 - 2027

Location: Columbus, IN | Metro: Columbus, IN MSA

Investment Score for ZIP 47203

F
Monthly Rent (2BR)
$1,290
Median Price (2BR)
$218,132
1% Rule
0.59%
Annual Yield
7.1%

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$1,110
1 Bedroom$1,140
2 Bedrooms$1,290
3 Bedrooms$1,540
4 Bedrooms$1,840
5 Bedrooms$2,134
6 Bedrooms$2,390
7 Bedrooms$2,581
8 Bedrooms$2,710

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
2BR $1,290 $218,132 0.59% F
3BR $1,540 $273,659 0.56% F
4BR $1,840 $361,452 0.51% F
5BR $2,134 $469,101 0.45% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
26,200
Median Household Income
$72,112
Housing Units
11,397
Renter Percentage
21.6%
Occupancy Rate
93.8%
Renter Occupied
2,306

The ZIP code 47203, located in Columbus, Indiana, presents an interesting balance between yield and stability. To understand this market, we must first consider the financial metrics provided. The Fair Market Rent (FMR) for ZIP 47203 is set at $1,040 for fiscal year 2024. This is significantly lower than the market rent of $1,509, indicating a potential opportunity for landlords to charge above the FMR and achieve higher yields.

However, the median home value of $285,719 suggests that the area is not entirely low-income. Coupled with the average household income of $72,112, it shows that tenants in this area can afford higher rents, making the market somewhat resilient to economic downturns. On the other hand, the 21.6% rental rate indicates that a considerable portion of the population is homeowners, which could limit the pool of potential tenants and affect the stability of rental income.

The days on market (DOM) figure of 32 days is relatively low, suggesting that properties are typically rented quickly once they become available. This quick turnover can be beneficial for landlords who prefer short-term leases and flexibility in managing their properties. However, it also implies that there might be a competitive environment where vacancy rates could fluctuate more than in areas with longer DOM periods.

Based on these figures, ZIP 47203 can be classified as a moderate-yield/moderate-stability market. The gap between the FMR and market rent allows for decent returns, but the relatively low rental rate and quick DOM suggest that while cash flow is steady, there is some risk associated with the market's volatility. Landlords and small-portfolio investors should weigh the potential for higher yields against the possibility of fluctuating occupancy rates when considering investments in this ZIP code.

To summarize, the key figures driving this assessment are:

These factors combine to create a market that offers opportunities for higher yields but requires careful management to maintain stable cash flows.

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.