Location: Cowley County, KS | Metro: Sumner County, KS HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $680 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,320 |
| 5 Bedrooms | $1,531 |
| 6 Bedrooms | $1,715 |
| 7 Bedrooms | $1,852 |
| 8 Bedrooms | $1,945 |
U.S. Census Bureau data (2024)
The investment landscape for Section 8 properties in ZIP code 67051 presents several challenges that potential landlords should be aware of. Firstly, tenant turnover poses a significant risk due to the stark difference between the market rent of $235 and the Federal Market Rent (FMR) of $950 for FY 2024. This gap can lead to frequent changes in occupancy as tenants who can afford the higher FMR may find other housing options outside the Section 8 program, while those who rely on it may struggle to keep up with the cost of living.
Vacancy exposure is another concern. The Days on Market (DOM) data is currently unavailable, which makes it difficult to predict how long a property might remain vacant between tenancies. A prolonged vacancy period can significantly impact the financial stability of a rental property, especially when relying on government subsidies that have strict eligibility criteria.
Deferred maintenance is also a critical issue. With a median income of $77,663, the ability of tenants to contribute to the upkeep of their homes may be limited, leading to higher costs for landlords to maintain the property's condition. Given that the typical home value in the area is not specified, assessing the overall market health and the potential for property appreciation or depreciation becomes challenging.
However, these risks must be weighed against the high concentration of renters in ZIP 67051, where the renter share stands at 10.7%. High renter density typically translates into a robust demand for housing vouchers, which can provide a steady stream of qualified tenants willing to pay the FMR. This demand helps mitigate some of the risks associated with vacancy and turnover.
In conclusion, the investment risk for a first-time Section 8 landlord in ZIP 67051 is moderate. While there are significant challenges related to tenant turnover and deferred maintenance, the high renter density offers a buffer against vacancy risks and ensures a consistent pool of potential tenants.
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.