Section 8 Fair Market Rent (FMR) for ZIP 66720 - 2027

Location: Woodson County, KS | Metro: Allen County, KS

Investment Score for ZIP 66720

A+
Monthly Rent (2BR)
$1,000
Median Price (2BR)
$57,617
1% Rule
1.74%
Annual Yield
20.83%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$820
1 Bedroom$830
2 Bedrooms$1,000
3 Bedrooms$1,330
4 Bedrooms$1,350
5 Bedrooms$1,566
6 Bedrooms$1,754
7 Bedrooms$1,894
8 Bedrooms$1,989

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,000 $57,617 1.74% A+
3BR $1,330 $127,089 1.05% B
4BR $1,350 $155,686 0.87% C
5BR $1,566 $220,419 0.71% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
10,631
Median Household Income
$56,911
Housing Units
4,925
Renter Percentage
26.5%
Occupancy Rate
88.5%
Renter Occupied
1,157

The ZIP code 66720, located in Chanute, Kansas, within Neosho County, stands out due to its demographic and economic characteristics. With a population of 10,631, it has a rental rate of 26.5%, indicating a significant portion of residents who might be interested in rental properties. The median income in this area is $56,911, which is relatively modest compared to the median home value of $96,595. This suggests that homeownership is somewhat less affordable, potentially making rental properties more attractive.

When it comes to Section 8 vouchers, the Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $900. However, the current market rent, as reported by the Census Bureau's American Community Survey, is $696. This discrepancy means that landlords accepting Section 8 vouchers could see a substantial increase in rental income, up to $204 more per month than the average market rate. It also implies that tenants with vouchers can afford higher rents than the local market average, potentially opening up a wider range of housing options for them.

Based on the data, the ZIP 66720 appears to have a stable economic environment. The median income and home values suggest a balanced community where both renters and homeowners coexist. The gap between the FMR and the current market rent indicates a potential opportunity for landlords to benefit from Section 8 programs without facing the typical challenges of lower reimbursement rates. Overall, the data signature points towards a stable market, with the potential for Section 8 to enhance the rental income for property owners.

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.