Location: Fountain County, IN | Metro: Fountain 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 | $760 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,290 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,290 | $205,857 | 0.63% | D |
| 4BR | $1,700 | $271,923 | 0.63% | D |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 47987 in fiscal year 2026 is set at $960. This figure represents the payment standard for Section 8 housing vouchers in the area, which is the amount the government will pay to landlords on behalf of eligible tenants. It's important to note that this is not the total rent you can charge; it's the maximum amount the voucher will cover.
In comparison, the average rent for ZIP 47987, according to recent Census American Community Survey (ACS) data, is $790. This indicates that the FMR is higher than the typical market rate, providing a potential financial advantage to landlords who participate in the Section 8 program.
The renter share in ZIP 47987 is 14.4%, meaning nearly one out of every seven households are renters. This suggests a steady demand for rental properties, especially those that cater to low-income families through programs like Section 8. With a consistent tenant base, landlords can expect stable rental income over time.
If you're considering purchasing a property to use as a Section 8 rental, the median home value in ZIP 47987 is approximately $196,162. This reflects the typical price you might pay for an existing property, which could be a reasonable investment given the FMR and the potential for long-term, reliable tenants.
Before committing to a Section 8 rental property, verify that the property meets all HUD inspection standards. This includes ensuring that your rental unit is safe, decent, and sanitary, as required by the Housing Quality Standards (HQS) guidelines. Failure to meet these standards could result in disqualification from the program, so it's crucial to check that your property complies with all regulations.
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.