Location: Bloomington, IN | Metro: Bloomington, IN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,000 |
| 1 Bedroom | $1,090 |
| 2 Bedrooms | $1,250 |
| 3 Bedrooms | $1,600 |
| 4 Bedrooms | $1,930 |
| 5 Bedrooms | $2,239 |
| 6 Bedrooms | $2,508 |
| 7 Bedrooms | $2,709 |
| 8 Bedrooms | $2,844 |
The real estate market in ZIP 47402 (Unknown, IN) presents a complex picture that requires careful consideration for both landlords and small-portfolio investors. The median home value is currently unavailable, which makes it difficult to assess the overall pricing trends in the area. However, the data does reveal that a significant percentage of listings have been reduced, and the median days on market (DOM) is also unspecified.
The reduction in listing prices suggests that sellers are becoming more flexible in their pricing strategies, possibly due to slower sales activity. This indicates a potential shift towards a buyer's market, where tenants and buyers may have more leverage to negotiate prices. A longer DOM could imply that homes are taking longer to sell, further supporting the notion that the market might be experiencing a period of adjustment.
On the rental side, the Fair Market Rent (FMR) for ZIP 47402 in fiscal year 2024 is set at $1130. This figure serves as a benchmark for the rental market, indicating the average rent that can be charged for a standard unit. If the current market rents are below this FMR, there is an opportunity for landlords to adjust their rental rates closer to the benchmark without losing tenants. Conversely, if market rents are already above the FMR, landlords may face challenges in raising rents further due to potential resistance from tenants.
For long-hold investors, the lack of specific appreciation thesis data means that future growth expectations must be based on broader regional trends rather than precise local forecasts. In the absence of strong local appreciation signals, investors should focus on the stability and income potential of their investments. Given the current setup, maintaining properties to ensure they meet the FMR standards will be key to sustaining rental income levels.
The combination of reduced listing prices and potentially extended DOM periods signals a cautious approach to pricing power over the next 12-24 months. Landlords and investors should be prepared to manage their properties with an eye towards maintaining occupancy rates and ensuring competitive rental pricing.
Data Sources: FMR data from HUD (2027).
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.