Location: Greene County, IN | Metro: Owen County, 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 | $780 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,550 |
| 5 Bedrooms | $1,798 |
| 6 Bedrooms | $2,014 |
| 7 Bedrooms | $2,175 |
| 8 Bedrooms | $2,284 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,010 | $125,241 | 0.81% | C |
| 3BR | $1,260 | $182,285 | 0.69% | D |
| 4BR | $1,550 | $275,142 | 0.56% | F |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $860 for ZIP 47471 in fiscal year 2024 will sufficiently cover the mortgage on a $170,827 home. This concern stems from the fact that the FMR is the maximum amount HUD allows to be paid for an apartment under the Section 8 program. However, according to recent housing market data, the median home value in ZIP 47471 is indicative of the local real estate landscape. A mortgage on a home valued at $170,827 would depend on the interest rate and loan terms, but it's important to note that FMR is designed to reflect typical rental costs, not necessarily mortgage payments.
The rental vacancy rate of 16.1% in ZIP 47471 raises another objection: Is there sufficient demand among renters? The data suggests that while the vacancy rate is above the national average, indicating a potentially softer rental market, the majority of households in the area are either owned or have a mortgage. This implies that there is still a notable portion of the population seeking rental options. Additionally, the presence of senior apartments accepting Section 8 vouchers, such as the Worthington Senior Apartments on 240 West St, indicates a steady demand for subsidized housing.
Lastly, an investor might wonder if vouchers will keep pace with the $627 market rent in ZIP 47471. The FMR of $860 is set to ensure that voucher holders can find suitable housing, and while it may exceed the current market rent, it's crucial to understand that these figures can fluctuate. Voucher amounts are adjusted annually based on changes in the local housing market. In Worthington, the trend towards higher FMRs suggests that voucher amounts are likely to increase, aligning better with future market rents. However, it's worth noting that the exact pace of adjustment is not always predictable and depends on broader economic factors.
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.