Location: Cowley County, KS | Metro: Cowley 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 | $720 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $980 |
| 3 Bedrooms | $1,290 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $980 | $60,395 | 1.62% | A+ |
| 3BR | $1,290 | $135,905 | 0.95% | C |
| 4BR | $1,470 | $186,413 | 0.79% | D |
| 5BR | $1,705 | $237,665 | 0.72% | D |
U.S. Census Bureau data (2024)
In Arkansas City, Kansas, which falls under ZIP code 67005, there are several potential pitfalls for landlords considering Section 8 investments. The primary concern is tenant turnover, as the market rent stands at $807, significantly lower than the Fair Market Rent (FMR) of $890 for the fiscal year 2026 in the metro area. This discrepancy can lead to tenants seeking higher-rent properties outside the program, increasing the likelihood of vacancies.
Vacancy exposure is another issue, as the days on market (DOM) for vacant properties is currently unknown (N/A), indicating a lack of historical data that could help predict how long it might take to fill an apartment with a Section 8 tenant. This uncertainty adds to the risk of holding a vacant property without guaranteed income.
Deferred maintenance is also a significant risk factor. With a typical home value of $100,187 and a median income of $54,516, many homeowners and landlords may struggle to keep up with necessary repairs and upgrades, especially when dealing with the limited funds available through the Section 8 program. This financial strain can lead to properties falling into disrepair, which could result in fines or penalties if they do not meet housing quality standards.
However, these risks must be weighed against the substantial number of renters in the area. The renter share is 37.0%, which is notably high. High renter density often translates into greater demand for rental units, including those participating in the Section 8 program. This demand can stabilize occupancy rates and provide a steady stream of tenants who are willing to use their vouchers in the area.
The verdict for a first-time Section 8 landlord in ZIP 67005 is moderate risk. While there are challenges related to tenant turnover and deferred maintenance, the high renter share offers a measure of stability and potential for consistent demand. Landlords should prepare for the possibility of lower rents compared to the market and ensure they have the resources to maintain properties adequately.
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.