Location: Omaha-Council Bluffs, NE | Metro: Omaha-Council Bluffs, NE-IA 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 | $1,330 |
| 1 Bedroom | $1,390 |
| 2 Bedrooms | $1,650 |
| 3 Bedrooms | $2,190 |
| 4 Bedrooms | $2,480 |
| 5 Bedrooms | $2,877 |
| 6 Bedrooms | $3,222 |
| 7 Bedrooms | $3,480 |
| 8 Bedrooms | $3,654 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,650 | $299,197 | 0.55% | F |
| 3BR | $2,190 | $311,027 | 0.7% | D |
| 4BR | $2,480 | $382,168 | 0.65% | D |
| 5BR | $2,877 | $429,683 | 0.67% | D |
U.S. Census Bureau data (2024)
The rent math in ZIP 68123 (Bellevue, NE, part of the Omaha-Council Bluffs, NE-IA HUD Metro FMR Area) does not align favorably for Section 8 participants. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $1290, while the Zillow Observed Rental Index (ZORI) indicates a market rent of $1456. This discrepancy means that landlords may find themselves shortchanged by nearly $166 per month if they rely solely on Section 8 payments.
Regarding property acquisition, the area presents a somewhat affordable opportunity. The median home value stands at $331,207, which is relatively low compared to other metropolitan areas. Additionally, the average days on market (DOM) is 17, suggesting that homes are moving quickly once listed. However, the price-cut share of 0.2% indicates that very few homes are being reduced in price, which could imply that the market is stable but not particularly volatile.
Tenant demand in ZIP 68123 is strong, with a population of 33,804 and a significant 41.6% renter share. This high percentage of renters suggests a robust pool of potential tenants, including those eligible for Section 8 housing assistance. Landlords can expect consistent interest in their rental properties, given the substantial number of individuals looking to rent rather than buy.
In summary, while the rent math does not favor Section 8 participation due to the lower FMR compared to the market rent, the area remains an attractive option for property acquisition. The low median home value and quick turnover times indicate a stable market with opportunities for investment. Tenant demand is robust, making it likely that landlords will find interested and qualified Section 8 tenants despite the financial shortfall. Landlords should consider supplementing their income through other means or focusing on cost management to balance the financial disparity between FMR and market rents.
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.