Section 8 Fair Market Rent (FMR) for ZIP 47840 - 2027

Location: Putnam County, IN | Metro: Terre Haute, IN HUD Metro FMR Area

Investment Score for ZIP 47840

D
Monthly Rent (2BR)
$1,150
Median Price (2BR)
$172,242
1% Rule
0.67%
Annual Yield
8.01%

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$880
1 Bedroom$890
2 Bedrooms$1,150
3 Bedrooms$1,370
4 Bedrooms$1,590
5 Bedrooms$1,844
6 Bedrooms$2,065
7 Bedrooms$2,230
8 Bedrooms$2,342

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
2BR $1,150 $172,242 0.67% D
3BR $1,370 $235,444 0.58% F
4BR $1,590 $312,061 0.51% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
1,970
Median Household Income
$102,991
Housing Units
846
Renter Percentage
15.0%
Occupancy Rate
85.0%
Renter Occupied
108

The potential risks for a Section 8 landlord in ZIP code 47840, Center Point, IN, include significant tenant turnover due to the disparity between the market rent of $742 and the Fair Market Rent (FMR) of $860 for fiscal year 2024. This gap can lead to tenants seeking higher-rent properties that better match their FMR, increasing the likelihood of vacancies. Additionally, the lack of data on the average days on market (DOM) indicates a potential vulnerability to extended vacancy periods, which can be financially challenging for property owners.

Deferred maintenance is another concern, especially considering the typical home value of $209,066 and the median income of $102,991. Landlords should expect a higher burden of upkeep costs, as residents might have limited resources to contribute to maintenance expenses. This situation requires careful budgeting and planning to ensure that the property remains in good condition without excessive financial strain.

However, these risks must be weighed against the 15.0% share of renters in the area. High renter density typically correlates with increased demand for housing vouchers, which can stabilize occupancy rates. The presence of a substantial number of renters suggests that there will likely be a steady pool of Section 8 participants interested in leasing properties, potentially mitigating some of the risks associated with tenant turnover and vacancy exposure.

Verdict: Moderate risk for a first-time Section 8 landlord in ZIP code 47840, Center Point, IN.

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.