Location: Terre Haute, IN | Metro: Terre Haute, IN HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $810 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,060 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
To integrate ZIP 47831 into a Section 8 portfolio strategy, one must consider its financial metrics and how they align with investment goals. For fiscal year 2024, the Fair Market Rent (FMR) for ZIP 47831 is set at $880. This figure serves as a benchmark for rental prices within the area.
Given the lack of specific market data such as median home values and percentage price-cut shares, it's challenging to assess ZIP 47831 purely on its potential for capital appreciation. However, the absence of detailed market data does not necessarily indicate a lack of appreciation potential; it merely means that the focus should be on other aspects of the investment strategy.
The most reliable metric here is the FMR, which can be used to determine if ZIP 47831 acts as a cash-flow anchor. Since the market rental prices are not provided, we cannot calculate the exact spread between the FMR and market rates. Nonetheless, the HUD-set FMR provides a stable, predictable income source for landlords participating in the Section 8 program. This makes ZIP 47831 suitable for those seeking consistent cash flow rather than rapid appreciation.
ZIP 47831 can also serve as a diversifier within a larger real estate portfolio. Although the median income and renter share percentages are not available, the inclusion of properties in areas with government-backed rental programs like Section 8 can reduce overall portfolio risk. The guaranteed rental income through the Section 8 vouchers offers a hedge against market fluctuations and economic downturns.
In conclusion, ZIP 47831 is best suited as a cash-flow anchor within a Section 8 portfolio strategy. Its defined FMR of $880 ensures a steady stream of income, ideal for landlords and small-portfolio investors looking for reliability and predictability in their investments. While appreciation potential remains uncertain due to missing market data, the stability offered by the HUD-set rents is a strong advantage for cash-flow focused strategies.
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.