Location: Topeka, KS | Metro: Topeka, 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 | $960 |
| 1 Bedroom | $1,010 |
| 2 Bedrooms | $1,300 |
| 3 Bedrooms | $1,730 |
| 4 Bedrooms | $1,760 |
| 5 Bedrooms | $2,042 |
| 6 Bedrooms | $2,287 |
| 7 Bedrooms | $2,470 |
| 8 Bedrooms | $2,594 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,300 | $243,318 | 0.53% | F |
| 3BR | $1,730 | $321,802 | 0.54% | F |
U.S. Census Bureau data (2024)
The Section 8 cap-rate analysis for ZIP code 66509, Mayetta, KS, reveals two distinct rental income scenarios based on the Fair Market Rent (FMR) and market rent figures. The annualized Fair Market Rent for a 2-bedroom unit is $940 per month, equating to an annual rent of $11,280. Conversely, the market rent stands at $795 per month, resulting in an annual rent of $9,540.
To derive the gross yield, we divide the annual rent by the median home value of $302,644. Using the FMR, the gross yield is approximately 3.73%, calculated as $11,280 / $302,644. On the other hand, using the market rent, the gross yield drops to around 3.15%, calculated as $9,540 / $302,644.
The lower gross yield based on market rent is more realistic given the area's characteristics. With a renter density of 26.4%, the competition for tenants is likely moderate, making it challenging to command the higher FMR rates consistently. Additionally, the N/A-day DOM (Days on Market) suggests that while properties may sell, the data does not provide insight into how quickly they do so, indicating potential variability in tenant acquisition speed.
In conclusion, while the FMR-based gross yield of 3.73% might be attainable in a highly competitive rental market, the 3.15% gross yield derived from the market rent reflects a more practical scenario for Mayetta, KS. This figure should serve as a baseline for investors considering Section 8 participation in this ZIP code, allowing them to adjust their calculations based on individual property conditions and market dynamics.
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.