Section 8 Fair Market Rent (FMR) for ZIP 47848 - 2027

Investment Score for ZIP 47848

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

Investment Analysis by Bedroom Size

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

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

The ZIP code 47848, encompassing Dugger, Indiana, represents a modest-sized community where economic stability is a key characteristic. This rural setting offers a glimpse into the housing dynamics of a smaller town, influenced by both federal programs and local market conditions.

• Fair Market Rent (FMR) for ZIP 47848 in fiscal year 2024 is set at $900. This figure, established by HUD, reflects the maximum amount that should be charged for a two-bedroom rental unit in this area to ensure affordability for low-income families participating in the Section 8 program.
• The average market rent for properties in ZIP 47848 is $670 per month. According to the latest Census American Community Survey (ACS), this indicates that the actual rental prices are below the HUD's FMR, offering landlords a competitive edge if they aim to align their rents with the government guidelines.
• The median home value in Dugger, IN, stands at $132,792. This relatively low median home value suggests that the area is accessible for both homeownership and investment, particularly for those looking to purchase rental properties at a lower cost compared to larger metropolitan areas.
• Renters make up 29.1% of the population in ZIP 47848. This percentage highlights a significant portion of the community that relies on rental housing, indicating a stable demand for rental properties in the area.
• The median household income is $60,581. This income level supports a modest but steady rental market, with many residents able to afford the current average rents without exceeding the recommended 30% of income spent on housing.
• The days on market (DOM) for rental listings is not available. This could suggest either a very efficient local rental market or limited data availability, which might require further investigation to understand the dynamics of property turnover.

Investors considering rental properties in Dugger, IN, can expect a stable market with a significant renter base. The gap between the HUD Fair Market Rent and the actual market rent presents an opportunity to increase rents slightly while still maintaining affordability. With a median home value that is quite low, the area remains attractive for both first-time homeowners and investors looking to build a portfolio of affordable rental units. However, the lack of days on market data underscores the need for thorough due diligence to understand the speed and efficiency of the local rental market.

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.