Location: Smith County, KS | Metro: Phillips County, KS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $970 |
| 1 Bedroom | $1,160 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,710 |
| 4 Bedrooms | $1,950 |
| 5 Bedrooms | $2,262 |
| 6 Bedrooms | $2,533 |
| 7 Bedrooms | $2,736 |
| 8 Bedrooms | $2,873 |
U.S. Census Bureau data (2024)
A landlord considering ZIP code 66951 for Section 8 investment must navigate several key factors to make an informed decision. The first step is to determine if the Fair Market Rent (FMR) of $1,210 can cover the debt service on a property valued at $124,095. To calculate this, we need to know the specific debt service amount, which includes mortgage payments, taxes, insurance, and other expenses. If the total monthly debt service is less than $1,210, then the answer is yes; the FMR clears the debt service. However, if the debt service exceeds this amount, the answer is no; the FMR does not provide sufficient income to meet financial obligations.
The second question is whether the market rent of $863 is above, at, or below the FMR. If the market rent is below the FMR, then landlords can charge the higher FMR rate for Section 8 tenants, making it a positive scenario. If the market rent is at or above the FMR, then landlords cannot rely on Section 8 to increase their rental income, and they might consider other factors such as the stability of Section 8 funding or the local tenant demand.
The third factor to consider is the rental demand. In ZIP 66951, 21.9% of residents are renters. Additionally, the days on market (DOM) is listed as N/A, which could mean that either there isn't enough data to determine the average time it takes for a rental unit to be filled, or the market is highly active with units filling quickly. If the rental demand is high, indicated by a low DOM or strong percentage of renters, then the answer is yes; there is enough demand to support Section 8 investments. Conversely, if the DOM is high, indicating slow turnover, or the percentage of renters is too low, the answer is no; the demand does not justify the investment.
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.