Location: Labette County, KS | Metro: Cherokee County, KS HUD Metro FMR Area
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 | $670 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,150 |
| 4 Bedrooms | $1,320 |
| 5 Bedrooms | $1,531 |
| 6 Bedrooms | $1,715 |
| 7 Bedrooms | $1,852 |
| 8 Bedrooms | $1,945 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $960 | $45,500 | 2.11% | A+ |
| 3BR | $1,150 | $113,831 | 1.01% | B |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $880 for ZIP 67336 (Chetopa, KS) can cover the mortgage on a home priced at $64,128. To address this, let's consider the typical mortgage payment. Assuming a 30-year fixed-rate mortgage with an interest rate of around 4%, the monthly mortgage payment for a home costing $64,128 would be approximately $300. Therefore, the FMR of $880 would comfortably cover the mortgage and leave room for other expenses such as maintenance and utilities.
The second objection could be regarding the renter demand at 27.6%. This percentage indicates that nearly one-third of households in the area rent their homes. While this figure is relatively low compared to more urban areas, it still suggests a viable market for rental properties. However, it is important to note that this statistic alone does not provide the full picture of demand. Additional factors, such as vacancy rates and the number of renters seeking affordable housing, would give a clearer understanding of the potential rental market.
The third concern might revolve around whether housing vouchers will keep pace with the market rents of $540. According to the data, the FMR is set at $880, which is higher than the current market rent. This implies that voucher holders should have sufficient funds to cover the market rent, potentially making them reliable tenants. Yet, it's crucial to monitor local changes in voucher amounts and market rents, as these can fluctuate based on economic conditions and policy adjustments.
In conclusion, while the data provides a strong foundation for addressing these concerns, some aspects remain speculative. For instance, future interest rates and economic shifts could impact mortgage payments and overall housing costs. Nonetheless, the current figures indicate that ZIP 67336 presents a manageable investment opportunity for landlords and small-portfolio investors.
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.