Location: Lafayette-West Lafayette, IN | Metro: Lafayette-West Lafayette, IN HUD Metro FMR Area
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 | $810 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,800 |
| 5 Bedrooms | $2,088 |
| 6 Bedrooms | $2,339 |
| 7 Bedrooms | $2,526 |
| 8 Bedrooms | $2,652 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,120 | $160,085 | 0.7% | D |
| 3BR | $1,350 | $226,270 | 0.6% | F |
| 4BR | $1,800 | $274,103 | 0.66% | D |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP 47971, Oxford, Indiana, suggests a balanced market with implications for both pricing power and rental income potential over the next 12-24 months. The median home value stands at $219,668, indicating a stable housing market where neither buyers nor sellers hold significant leverage. This stability is further reinforced by the absence of notable reductions in listing prices and the unspecified median days on market (DOM), which typically points to a market where homes are selling within a reasonable timeframe.
On the rental side, the Fair Market Rent (FMR) for ZIP 47971 as of fiscal year 2024 is set at $970. In contrast, the current market rent, according to the Census Bureau's American Community Survey (ACS), is $758. This gap signals an opportunity for landlords and small-portfolio investors to potentially increase their rental rates, aligning more closely with the FMR. However, it also highlights the need for careful consideration of local economic conditions and tenant affordability when adjusting rents.
For long-term investors, the setup in ZIP 47971 implies a moderate appreciation thesis. With a median home value that reflects a stable market and rental rates that have room to grow towards the FMR, there is a realistic scenario where property values could see gradual increases. However, the lack of specific percentage figures for reduced listings and the median DOM suggests that rapid price escalation is unlikely. Instead, the market appears poised for steady growth, contingent upon broader economic factors such as employment rates and interest levels.
The data collectively indicates a market where landlords and small-portfolio investors can maintain current pricing strategies while cautiously exploring opportunities to enhance rental income. The absence of aggressive price reductions among listings supports the notion that sellers are holding firm on their asking prices, a behavior that can sustain or even slightly elevate home values if demand remains consistent. Rental properties, particularly those underpriced relative to the FMR, present a clear avenue for increasing cash flow without necessarily facing immediate resistance from tenants.
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.