Location: Parke County, IN | Metro: Parke 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 | $1,020 |
| 1 Bedroom | $1,040 |
| 2 Bedrooms | $1,360 |
| 3 Bedrooms | $1,780 |
| 4 Bedrooms | $1,790 |
| 5 Bedrooms | $2,076 |
| 6 Bedrooms | $2,325 |
| 7 Bedrooms | $2,511 |
| 8 Bedrooms | $2,637 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,360 | $178,163 | 0.76% | D |
| 3BR | $1,780 | $245,000 | 0.73% | D |
U.S. Census Bureau data (2024)
The analysis of ZIP code 47859 reveals several key points that are essential for landlords and small-portfolio investors. Firstly, the rent math does not work in favor of the landlord. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $1270, while the actual market rent, according to Census ACS data, is only $788. This significant gap means that landlords would have to either accept lower rents than the FMR suggests or risk having their properties remain unoccupied due to overpricing.
Secondly, the acquisition of homes in this ZIP code is somewhat affordable. With a median home value of $239,151, potential investors can find properties within a reasonable budget. However, the lack of available data on days on market (DOM) and the percentage of homes needing price cuts indicates an uncertainty regarding how quickly homes sell and at what price point. This could pose challenges in accurately predicting the time and cost involved in acquiring a property.
Lastly, the tenant demand in ZIP 47859 is limited. The total population is 934, with only 5.4% being renters. This small pool of potential tenants could make it difficult to find stable occupants willing to pay the market rent of $788, especially when considering the higher FMR of $1270. The low renter share suggests that homeownership is prevalent in this area, which further reduces the likelihood of finding a large number of tenants.
In conclusion, ZIP 47859 presents a challenging environment for landlords and small-portfolio investors. The discrepancy between the FMR and market rent, combined with the limited tenant demand, makes it less attractive for investment. While the median home value offers some affordability, the lack of comprehensive data on sales dynamics introduces additional risk. Therefore, unless investors can secure properties below the median value and manage expectations regarding rental income, this ZIP code may not be a viable option for profitable real estate investments.
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.