Section 8 Fair Market Rent (FMR) for ZIP 47932 - 2027

Location: Fountain County, IN | Metro: Warren County, IN HUD Metro FMR Area

Investment Score for ZIP 47932

D
Monthly Rent (2BR)
$1,010
Median Price (2BR)
$160,823
1% Rule
0.63%
Annual Yield
7.54%

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$780
1 Bedroom$790
2 Bedrooms$1,010
3 Bedrooms$1,290
4 Bedrooms$1,650
5 Bedrooms$1,914
6 Bedrooms$2,144
7 Bedrooms$2,316
8 Bedrooms$2,432

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 $1,010 $160,823 0.63% D
3BR $1,290 $252,279 0.51% F
4BR $1,650 $317,429 0.52% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
5,035
Median Household Income
$59,811
Housing Units
2,576
Renter Percentage
28.3%
Occupancy Rate
86.6%
Renter Occupied
632
Based on the provided data, ZIP 47932, located in Covington, Indiana, within the Fountain County metro area, can be best described as an appreciation play within a Section 8 portfolio strategy. This designation is supported by several key metrics:

The $860 Fair Market Rent (FMR) for FY 2024 in ZIP 47932 exceeds the local market rent of $825, indicating a positive spread that supports higher rental income potential. Additionally, the median home value stands at $221,762, which is below the national average, suggesting there is room for appreciation.

A critical factor supporting the appreciation play classification is the low price-cut share of 0.2%. This indicates that properties in this ZIP code are not frequently being discounted, implying strong demand and stability in pricing. Furthermore, the N/A-day Days on Market (DOM) suggests that when homes do come up for sale, they are typically sold quickly without extended periods of market exposure.

The renter share in ZIP 47932 is 28.3%, providing a sufficient pool of potential tenants who could benefit from Section 8 subsidies. With a median income of $59,811, residents in this area are likely to qualify for assistance programs, making it an attractive location for Section 8 properties.

In conclusion, ZIP 47932 is well-suited as an appreciation play within a Section 8 portfolio strategy due to its favorable rental income potential, stable property values, and a robust tenant base eligible for government assistance. Landlords and small-portfolio investors should consider this area for long-term investment opportunities that promise both steady cash flow and capital appreciation."}

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.