Location: Spencer County, IN | Metro: Spencer County, IN
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 | $740 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,040 | $161,039 | 0.65% | D |
| 3BR | $1,370 | $225,100 | 0.61% | D |
U.S. Census Bureau data (2024)
The Section 8 housing analysis for ZIP code 47611, specifically in Chrisney, Indiana, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area in fiscal year 2026 is set at $1,040, while the Census ACS data indicates an average market rent of $625. This creates a discrepancy of $415 per month, which translates into a 66.3% difference between the two figures.
Given that the FMR exceeds the market rent, landlords and small-portfolio investors can leverage this situation to achieve higher yields on their rental properties. By participating in the Section 8 program, landlords can receive a rental payment that is closer to the FMR rather than the lower market rate. This means they can earn approximately $415 more per unit each month compared to renting at the current market price, significantly enhancing their financial returns.
In Chrisney, where only 11.8% of residents are renters and the median home value stands at $199,610, the potential for yield plays through Section 8 participation becomes even more pronounced. The median household income in the area is $56,875, indicating that many residents might find it challenging to afford housing at market rates without assistance. Consequently, landlords who accept Section 8 vouchers can benefit from a steady, government-backed income stream while providing affordable housing options to those in need.
However, it's important to note that accepting Section 8 tenants also comes with its own set of considerations. Landlords must ensure that their properties meet the Housing Quality Standards (HQS), which can involve additional maintenance costs. Furthermore, there may be limitations on how much rent can be increased annually, which could impact long-term profitability if market rents rise faster than allowed adjustments under the voucher program.
In summary, the substantial gap between FMR and market rent in ZIP 47611 presents a clear opportunity for landlords to enhance their investment yields by participating in the Section 8 program. Despite the potential challenges, the financial benefits of receiving higher rent payments can outweigh the costs, especially in a market where the demand for affordable housing is high relative to the supply.
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.