Location: Bourbon County, KS | Metro: Bourbon County, KS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $670 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,150 |
| 4 Bedrooms | $1,440 |
| 5 Bedrooms | $1,670 |
| 6 Bedrooms | $1,870 |
| 7 Bedrooms | $2,020 |
| 8 Bedrooms | $2,121 |
U.S. Census Bureau data (2024)
The analysis for ZIP Code 66779 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area in fiscal year 2026 is set at $880, while the Census ACS indicates that the market rent is $575. This means there is a gap of $305, or approximately 53%, between the two figures.
If the FMR exceeds the market rent, as it does in this case, properties can be attractive for landlords participating in the Section 8 program. Voucher tenants provide a guaranteed income stream, ensuring that the landlord receives the higher FMR rate. Given that only 12.0% of residents are renters and the median home value is $186,771, the demand for rental properties might be lower. However, the Section 8 program can fill this demand and offer a stable yield play for landlords.
The median income in ZIP 66779 is $65,625. With voucher tenants paying only a portion of their income towards rent, landlords benefit from the higher FMR payments. This makes the ZIP Code a viable investment option despite the relatively low market rent.
However, if the FMR were to fall below the market rent, which is not the case here, landlords would face a different scenario. They would have to accept lower rents from voucher tenants compared to the open-market rates, potentially reducing their overall profitability. In such cases, the decision to participate in the Section 8 program would depend on the balance between the stability provided by the program and the potential loss in rental income.
In summary, the current situation in ZIP 66779, where the FMR is significantly higher than the market rent, makes it a favorable environment for landlords to engage with voucher tenants. The guaranteed income and the stability offered by the Section 8 program can offset the lower demand for rental properties in this area.
Data Sources: FMR data from HUD (2027). 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.