Location: Grant County, IN | Metro: Anderson, 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 | $810 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,440 |
| 4 Bedrooms | $1,680 |
| 5 Bedrooms | $1,949 |
| 6 Bedrooms | $2,183 |
| 7 Bedrooms | $2,358 |
| 8 Bedrooms | $2,476 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,090 | $145,848 | 0.75% | D |
| 3BR | $1,440 | $200,985 | 0.72% | D |
| 4BR | $1,680 | $264,605 | 0.63% | D |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 47342, Gaston, Indiana, in fiscal year 2024 is set at $910. This figure represents the maximum amount that the Housing Choice Voucher Program, commonly known as Section 8, will pay toward the rent for a unit in this area. It's important to note that this is not the total rent you can charge your tenant; it's the reimbursement limit for the voucher program.
Comparatively, the median gross rent in ZIP 47342, as reported by the Census Bureau's American Community Survey (ACS), is $900. This means the FMR is slightly above the typical rent in the area, providing a small margin for landlords who participate in the Section 8 program. However, remember that tenants contribute a portion of their income toward rent, which must be calculated based on their eligibility criteria.
The 20.2% renter share indicates that about one-fifth of the households in Gaston are renters. This suggests there is a moderate level of demand for rental properties, but it also means competition for tenants might exist among other rental units. If you're looking to enter the Section 8 market, understanding the local rental landscape and the number of potential tenants is crucial.
When considering the purchase of a property for a Section 8 rental, the median home value in the area is approximately $196,264. This figure helps gauge the acquisition cost of a property. Keep in mind that the actual cost could vary depending on the condition and location of the property, but this gives you a baseline to work with.
Before proceeding with a Section 8 rental in ZIP 47342, ensure you verify that the property meets the Housing Quality Standards (HQS). These standards are set by the Department of Housing and Urban Development (HUD) and must be satisfied for the property to be eligible for the program. This includes aspects such as safety, cleanliness, and overall habitability, which are essential for both compliance and tenant satisfaction.
In summary, participating in the Section 8 program in Gaston can provide a stable source of income, especially if you understand the local rental dynamics and ensure your property meets the necessary quality standards. The reimbursement rate of $910 per month is slightly higher than the average rent of $900, making it a viable option for those willing to meet the requirements.
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.