Location: Lawrence, KS | Metro: Lawrence, KS MSA
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 | $1,010 |
| 1 Bedroom | $1,160 |
| 2 Bedrooms | $1,340 |
| 3 Bedrooms | $1,860 |
| 4 Bedrooms | $2,240 |
| 5 Bedrooms | $2,598 |
| 6 Bedrooms | $2,910 |
| 7 Bedrooms | $3,143 |
| 8 Bedrooms | $3,300 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,340 | $260,967 | 0.51% | F |
| 3BR | $1,860 | $317,259 | 0.59% | F |
| 4BR | $2,240 | $417,995 | 0.54% | F |
| 5BR | $2,598 | $624,637 | 0.42% | F |
U.S. Census Bureau data (2024)
The dynamics of ZIP 66047, located in Lawrence, Kansas, reveal a market in motion. With a Fair Market Rent (FMR) set at $1,140 for fiscal year 2024, the area stands below the market rent indicator known as ZORI, which is currently at $1,688. This suggests that rental prices are relatively stable and potentially undervalued compared to the broader market, indicating a possible opportunity for landlords to adjust their rates upwards without losing tenants.
A 0.2% price-cut share points to a competitive but not oversaturated rental market. The low percentage implies that few landlords are forced to reduce their rents to attract tenants, suggesting a balanced demand for rental properties. Additionally, a 16-day Days on Market (DOM) indicates swift transactions, likely due to eager buyers or renters finding the area appealing. This short DOM period supports the idea of a market where demand is robust, possibly keeping up with or slightly exceeding supply.
The median home value in ZIP 66047 is $350,789, reflecting the overall economic standing of homeowners in the region. Coupled with a 54.2% renter share, this highlights a significant portion of the population choosing to rent rather than own. Such a high percentage of renters can be indicative of long-term housing pressure, as it signals a persistent need for rental units, which could be driven by factors such as student populations, young professionals, or individuals who prefer renting over buying. For small-portfolio investors, this suggests a steady demand for rental properties, providing a reliable stream of income.
In summary, ZIP 66047 presents a market where demand for rentals is strong, supported by a fair number of renters and quick property turnovers. While the FMR is lower than the market rent, this gap offers landlords the flexibility to adjust their pricing strategies. The high renter share underscores the enduring need for rental properties, making it a viable option for investors looking to capitalize on consistent tenant interest.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.