Location: Jennings County, IN | Metro: Jackson County, IN
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 | $830 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,390 |
| 4 Bedrooms | $1,450 |
| 5 Bedrooms | $1,682 |
| 6 Bedrooms | $1,884 |
| 7 Bedrooms | $2,035 |
| 8 Bedrooms | $2,137 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,100 | $156,512 | 0.7% | D |
| 3BR | $1,390 | $202,085 | 0.69% | D |
| 4BR | $1,450 | $254,830 | 0.57% | F |
U.S. Census Bureau data (2024)
The ZIP code 47229, located in Crothersville, Indiana, presents an interesting mix of yield and stability characteristics that are important for landlords and small-portfolio investors to consider. The Federal Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,050, while the market rent stands at $1,000. This suggests a modest potential for rental income, but with a slight premium over the actual market rate.
The median home value in ZIP 47229 is $196,749, which is relatively low compared to national averages, making it an attractive area for property acquisition and potential rental investment. However, the stability indicators paint a different picture. Only 11.0% of the residents are renters, indicating a primarily owner-occupied community. This lower percentage of renters could imply a less robust demand for rental properties, affecting the occupancy rates and cash flow predictability.
Income levels in the area provide some insight into the financial health of potential tenants. The average household income is $62,950, which is below the national average and may suggest a higher risk of rental payment defaults or evictions. The lack of data on the number of days on market (DOM) for rentals means there's uncertainty around how quickly properties can be leased out once they become available.
Based on these figures, ZIP 47229 leans towards being a low-stability market rather than a high-yield one. The modest difference between the FMR and the market rent, combined with the low percentage of renters and below-average income levels, indicates that while the initial purchase price and rental rates might offer decent returns, the overall stability and reliability of cash flow are compromised. This makes it unsuitable for a high-yield/low-stability 'flip-style' market strategy, where quick turnovers and speculative pricing are key.
Instead, ZIP 47229 appears to be more aligned with a steady-cashflow investment approach, where the focus is on long-term, consistent returns rather than short-term gains. Investors should expect moderate yields and be prepared for potentially higher vacancy rates and tenant turnover, necessitating careful management practices and possibly a larger buffer for unexpected expenses or periods without rental income.
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.