Location: Rice County, KS | Metro: Reno 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 | $740 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $1,060 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,060 | $148,462 | 0.71% | D |
| 3BR | $1,350 | $208,931 | 0.65% | D |
| 4BR | $1,480 | $288,572 | 0.51% | F |
| 5BR | $1,717 | $388,483 | 0.44% | F |
U.S. Census Bureau data (2024)
The market in ZIP 67502, which encompasses Hutchinson, Kansas, demonstrates a dynamic equilibrium between supply and demand, leaning slightly towards demand outpacing supply. The Federal Market Rent (FMR) for the area stands at $1,020, set for the fiscal year 2026, while the actual market rent, as indicated by Zillow's Observed Rent Index (ZORI), is lower at $938. This suggests that rents are currently below the federally determined fair market rate, indicating a potential for upward movement in rental prices as the market adjusts to meet federal standards.
A key indicator of market health is the percentage of listings that require price cuts. In ZIP 67502, only 0.2% of listings experience price reductions, which is an exceptionally low figure. This points to a strong seller's market where properties are likely to sell at or near the asking price, without significant negotiation. The Days on Market (DOM) statistic of 24 days further supports this, showing that homes are selling relatively quickly, another sign of robust demand.
The median home value in the area is $212,246, reflecting a stable housing market. However, with a renter share of 25.9%, there is a notable segment of the population that prefers renting over owning. This can be indicative of long-term housing pressure, as a significant portion of residents may find it challenging to transition into homeownership due to financial constraints or other factors. As a result, landlords and small-portfolio investors should anticipate steady demand for rental properties, given the substantial number of renters.
In summary, the snapshot of ZIP 67502 reveals a market where demand appears to be outpacing supply, evidenced by quick sales and minimal price cutting. The high renter share signals ongoing pressure on the rental market, suggesting that landlords will continue to see interest in their properties. For investors looking to capitalize on these dynamics, focusing on rental properties could prove to be a strategic move in this market.
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.