Location: Lyon County, KS | Metro: Greenwood County, KS
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 | $710 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,150 |
| 4 Bedrooms | $1,430 |
| 5 Bedrooms | $1,659 |
| 6 Bedrooms | $1,858 |
| 7 Bedrooms | $2,007 |
| 8 Bedrooms | $2,107 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $960 | $74,775 | 1.28% | A |
| 3BR | $1,150 | $165,648 | 0.69% | D |
U.S. Census Bureau data (2024)
The ZIP code 66860, located in Madison, KS, presents a dynamic rental market that is indicative of ongoing housing pressures. The Fair Market Rent (FMR) for the area is set at $880 for fiscal year 2026, which reflects the government's benchmark for affordability. However, the actual market rent, as reported by the Census American Community Survey (ACS), stands at $595. This discrepancy suggests that the local rental market is currently underserved, with demand potentially exceeding supply.
The median home value in the area is $146,026, indicating a relatively affordable housing market for homeownership. Yet, the fact that 21.4% of residents are renters points to an enduring segment of the population that may face challenges in transitioning to homeownership. This high renter share can be interpreted as a sign of long-term housing pressure, where a significant portion of the community remains reliant on rental properties due to economic constraints or other factors.
The lack of data on price-cut share and days on market (DOM) prevents a detailed analysis of the current supply-demand balance. However, the lower-than-FMR market rent suggests that there might be a surplus of rental units available, or that landlords are setting rents below the benchmark to attract tenants. This could indicate that supply is currently outpacing demand, but the high percentage of renters implies a steady underlying need for rental housing.
In conclusion, ZIP 66860 represents a market in flux, with the potential for demand to rise and meet or exceed supply over time. Landlords and small-portfolio investors should closely monitor these trends, particularly the renter share and market rent levels, to inform their investment decisions and management strategies.
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.