Location: Trego County, KS | Metro: Graham County, KS
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $980 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,490 |
| 5 Bedrooms | $1,728 |
| 6 Bedrooms | $1,935 |
| 7 Bedrooms | $2,090 |
| 8 Bedrooms | $2,195 |
U.S. Census Bureau data (2024)
The ZIP code 67656 presents several challenges for potential Section 8 landlords. First, the discrepancy between the market rent and the Fair Market Rent (FMR) of $880 can lead to higher tenant turnover. While the exact market rent is not specified, landlords should be prepared for tenants who may struggle to find units that match their voucher amount. This turnover can result in additional costs and time spent on finding new tenants and maintaining the property.
Second, the vacancy exposure is a significant concern due to the unspecified number of days on the market (DOM). High DOM values indicate difficulty in renting out units, which can lead to prolonged periods without rental income. Landlords must consider how they will manage this risk, possibly through diversification of their portfolio or setting aside funds for such contingencies.
Third, the deferred-maintenance exposure is substantial given the typical home value of $180,841 and the median income of $73,542. The lower median income suggests that tenants may have limited resources to cover unexpected maintenance costs, placing the burden squarely on the landlord. This financial pressure can be particularly challenging when combined with the other risks mentioned.
However, these risks are offset by the high renter density in the area, with 23.8% of residents being renters. This statistic points to a strong demand for rental properties, which often translates into a higher demand for Section 8 vouchers. The presence of many renters increases the likelihood of finding tenants who are ready to use their vouchers, potentially reducing the time a unit remains vacant.
In conclusion, despite the risks associated with tenant turnover, vacancy exposure, and deferred maintenance, the high renter share in ZIP 67656 indicates a robust market for Section 8 properties. However, these factors combine to create a moderate risk environment for a first-time Section 8 landlord. Careful management and preparation for these challenges can mitigate the risks and make this a viable investment opportunity.
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.