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 | $1,220 |
| 1 Bedroom | $1,270 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $2,000 |
| 4 Bedrooms | $2,270 |
| 5 Bedrooms | $2,633 |
| 6 Bedrooms | $2,949 |
| 7 Bedrooms | $3,185 |
| 8 Bedrooms | $3,344 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,510 | $256,984 | 0.59% | F |
| 3BR | $2,000 | $297,445 | 0.67% | D |
| 4BR | $2,270 | $496,078 | 0.46% | F |
| 5BR | $2,633 | $769,924 | 0.34% | F |
U.S. Census Bureau data (2024)
The real estate market in ZIP 68124, Omaha, NE, presents a nuanced landscape for both landlords and small-portfolio investors. With a median home value of $342,870, the area reflects a stable housing market where property values have remained consistent. The fact that only 0.2% of listings have been reduced indicates a strong seller's market, suggesting that homeowners are confident in their ability to sell at current asking prices. This minimal reduction rate signals that there is little pressure on sellers to lower their prices, maintaining robust pricing power.
The median days on market (DOM) being listed as N/A suggests that homes are selling quickly, often before reaching typical market periods. Rapid sales indicate high demand relative to supply, further reinforcing the notion of a seller-dominated environment. For landlords and investors looking to capitalize on short-term rental opportunities, this swift turnover can be beneficial, as it allows for quicker capital recovery when selling properties.
On the rental side, the forward-moving rent (FMR) for ZIP 68124 in fiscal year 2024 is projected at $1,270, whereas the current market rent, as measured by the Zillow Observed Rent Index (ZORI), stands at $1,729. This significant gap between the FMR and the actual market rent suggests that rental prices are currently above government estimates, indicating a strong local rental market. Investors who can offer competitive rental rates while maintaining profitability will likely attract tenants in this area.
For long-term investors, the setup in ZIP 68124 implies a cautious approach towards appreciation expectations. While the area maintains a stable median home value, the slight increase in market rents compared to FMRs might not translate into substantial property value appreciation over the next 12-24 months. However, the consistent demand for both buying and renting properties ensures steady cash flows, making this area suitable for those focused on generating income rather than rapid capital growth.
In summary, the data points towards a market where pricing power leans towards the seller, with quick sales and minimal price reductions. The rental market shows strength, with current market rents exceeding forward-moving estimates, but appreciation potential appears limited. Long-term investors should focus on the income-generating capacity of their properties rather than expecting significant increases in property values.
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.