Section 8 Fair Market Rent (FMR) for ZIP 47501 - 2027

Location: Daviess County, IN | Metro: Daviess County, IN

Investment Score for ZIP 47501

C
Monthly Rent (2BR)
$1,100
Median Price (2BR)
$131,382
1% Rule
0.84%
Annual Yield
10.05%

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$820
1 Bedroom$840
2 Bedrooms$1,100
3 Bedrooms$1,350
4 Bedrooms$1,450
5 Bedrooms$1,682
6 Bedrooms$1,884
7 Bedrooms$2,035
8 Bedrooms$2,137

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $840 $82,982 1.01% B
2BR $1,100 $131,382 0.84% C
3BR $1,350 $209,886 0.64% D
4BR $1,450 $275,397 0.53% F
5BR $1,682 $284,952 0.59% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
18,612
Median Household Income
$62,982
Housing Units
7,719
Renter Percentage
34.7%
Occupancy Rate
92.3%
Renter Occupied
2,474

The Fair Market Rent (FMR) for ZIP 47501, Washington, IN, stands at $1,020 per month for the metro area fiscal year 2026. This figure represents the payment standard set by the U.S. Department of Housing and Urban Development (HUD) for Section 8 housing assistance. It is important to note that this does not equate to the total rent you will receive; it is the maximum amount HUD will pay on behalf of a tenant.

In comparison, the average rent for the same area based on Census American Community Survey (ACS) data is $861 per month. This indicates that the FMR is higher than the local average, which can be beneficial for landlords participating in the Section 8 program. The difference between these two figures suggests that landlords may be able to charge a higher rent than the typical market rate, with the excess paid directly by the tenant.

The demand for rental properties in ZIP 47501 is strong, with 34.7% of residents being renters. This high percentage of renters signals a robust market for Section 8 participants, as there is a significant pool of potential tenants who might qualify for the housing assistance program.

If you're looking to acquire a property in this area for a Section 8 rental, the median home value is around $187,677. This price point reflects the typical cost of purchasing a home suitable for a Section 8 tenant, and it's crucial to factor in this investment when assessing the financial viability of your rental property.

Before you proceed with a Section 8 rental in ZIP 47501, verify that the property meets HUD's Housing Quality Standards (HQS). These standards ensure that the rental unit is safe, decent, and sanitary for tenants, and failing to meet them can result in disqualification from the program. Once confirmed, you can confidently move forward with the expectation of a steady income stream supported by the Section 8 program.

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.