Location: Manhattan, KS | Metro: Manhattan, KS 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 | $990 |
| 1 Bedroom | $1,060 |
| 2 Bedrooms | $1,270 |
| 3 Bedrooms | $1,760 |
| 4 Bedrooms | $2,120 |
| 5 Bedrooms | $2,459 |
| 6 Bedrooms | $2,754 |
| 7 Bedrooms | $2,974 |
| 8 Bedrooms | $3,123 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,270 | $160,039 | 0.79% | D |
| 3BR | $1,760 | $235,350 | 0.75% | D |
| 4BR | $2,120 | $269,680 | 0.79% | D |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP 66531, Riley, Kansas, suggests a balanced market with implications for both pricing power and investment appreciation. The median home value stands at $223,038, reflecting a stable residential property environment. However, the absence of data on the percentage of listings that have been reduced and the median days on market (DOM) indicates a lack of recent volatility in the market, which could imply steady demand and supply conditions.
On the rental side, the Fair Market Rent (FMR) for ZIP 66531 in fiscal year 2024 is set at $1,110, while the current market rent based on Census ACS data is $1,203. This suggests that landlords can maintain a slight premium over the government-set FMR, but it also points to a competitive rental market where maintaining occupancy requires attention to quality and price.
The setup for long-term investors in Riley, Kansas, is nuanced. With the median home value holding steady at $223,038 and no significant reduction in listing prices, there is an indication of a resilient housing market. However, the gap between FMR and market rent rates signals a potential challenge for landlords who might face pressure to keep rents affordable without sacrificing profitability. This dynamic suggests that appreciation expectations should be moderate, with the possibility of slow growth tied to broader economic trends and local development activities.
Landlords and small-portfolio investors should focus on enhancing property values through strategic improvements and efficient management practices. The current equilibrium in the market, characterized by stable home values and a slight edge in market rents, supports a conservative approach to valuation increases. As such, realistic appreciation theses should account for modest gains rather than rapid appreciation, aligning with the overall stability observed in ZIP 66531's real estate metrics.
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.