Location: Butler County, NE | Metro: Lincoln, NE 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 | $820 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,030 |
| 3 Bedrooms | $1,430 |
| 4 Bedrooms | $1,640 |
| 5 Bedrooms | $1,902 |
| 6 Bedrooms | $2,130 |
| 7 Bedrooms | $2,300 |
| 8 Bedrooms | $2,415 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,430 | $355,023 | 0.4% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 68065 reveals that the HUD Fair Market Rent (FMR) of $890 for the fiscal year 2024 is slightly below the Census ACS-reported market rent of $931. This indicates that voucher tenants will cashflow marginally, requiring landlords to seek efficiencies or consider premium units to ensure positive cash flow.
To further understand the investment landscape, the median home value in ZIP 68065 stands at $377,327. Using this figure, we can calculate the rent-to-price ratio. The ratio is derived by dividing the annual rent by the median home value. For an annual rent of $11,160 (based on the monthly market rent of $931), the rent-to-price ratio is approximately 0.0296, or 2.96%. This suggests that rental income is relatively low compared to property values, which could be a consideration for investors looking to balance between rental income and potential appreciation.
Note that the data does not provide the median Days on Market (DOM) or the percentage of homes that required price cuts. However, these metrics would be crucial in understanding the local real estate market's liquidity and the sellers' willingness to negotiate, which can impact the buy-versus-rent decision.
The strongest investor angle in ZIP 68065 is likely to be stability. Given the slight gap between the HUD FMR and market rent, along with the solid median home value, investors can expect consistent and reliable returns through rental income without significant risk of vacancy or price volatility.
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.