Location: Knox County, IN | Metro: Sullivan 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 | $770 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,320 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,010 | $117,799 | 0.86% | C |
| 3BR | $1,320 | $171,400 | 0.77% | D |
U.S. Census Bureau data (2024)
The ZIP code 47578, located in Sandborn, IN within the Knox County, IN metro area, presents a unique profile when compared to typical ZIP codes in Knox County. With a Fair Market Rent (FMR) of $920 for fiscal year 2024, it stands out as notably higher than the average market rent of $683. This discrepancy suggests that 47578 might be seen as a slightly more expensive option for those utilizing Section 8 vouchers, positioning it somewhat above the mid-tier neighborhoods.
The median home value in 47578 is $152,209, which is relatively consistent with the broader Knox County market. This indicates that the housing stock in 47578 is neither particularly luxurious nor markedly cheaper than what is typically found in the county. However, the renter share in 47578 is 8.6%, a figure that does not significantly deviate from the county-wide average, suggesting a moderate demand for rental properties.
When analyzing the data, the key divergence lies in the FMR being substantially higher than the market rent. This can signal a potential opportunity for landlords who are willing to accept Section 8 vouchers, as they could potentially charge closer to the FMR rate, thereby earning more than what is typical for the market rent. The combination of an above-average FMR with a below-metro average market rent points towards 47578 being a value pocket for Section 8 participants, offering more affordable housing options relative to the voucher limits.
Investors looking to enter the Knox County market should consider 47578 as a strategic location. It offers a balance between being a desirable area for renters due to its affordable home values and the potential for higher rental income through Section 8 participation. This makes it an attractive option for those seeking to maximize their investment returns while providing affordable housing.
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.