Section 8 Fair Market Rent (FMR) for ZIP 68503 - 2027

Location: Lincoln, NE | Metro: Lincoln, NE HUD Metro FMR Area

Investment Score for ZIP 68503

D
Monthly Rent (2BR)
$1,140
Median Price (2BR)
$179,779
1% Rule
0.63%
Annual Yield
7.61%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$880
1 Bedroom$940
2 Bedrooms$1,140
3 Bedrooms$1,580
4 Bedrooms$1,770
5 Bedrooms$2,053
6 Bedrooms$2,299
7 Bedrooms$2,483
8 Bedrooms$2,607

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $940 $138,128 0.68% D
2BR $1,140 $179,779 0.63% D
3BR $1,580 $211,339 0.75% D
4BR $1,770 $224,826 0.79% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
15,867
Median Household Income
$54,232
Housing Units
6,996
Renter Percentage
61.1%
Occupancy Rate
92.3%
Renter Occupied
3,943

The ZIP code 68503, located in Lincoln, NE, falls within the broader Lincoln, NE HUD Metro FMR Area. Its Fair Market Rent (FMR) for fiscal year 2024 is set at $900, which is significantly lower than the market rent of $1,400 observed in this area. This difference highlights that 68503 is likely a value pocket within the Lincoln, NE HUD Metro FMR Area.

The median home value in 68503 stands at $201,080, which is also below the typical range for the entire metro area. This suggests that the real estate in this ZIP code is generally more affordable compared to other parts of Lincoln, NE.

Additionally, the renter share in 68503 is 61.1%, indicating a higher proportion of renters relative to homeowners. This characteristic, combined with the below-average home values, points to a potential sweet spot for Section 8 housing opportunities. Landlords and small-portfolio investors looking to capitalize on government-subsidized rental programs should consider 68503 due to its favorable conditions for such investments.

To summarize, 68503 is positioned as a value pocket within the Lincoln, NE HUD Metro FMR Area. The FMR of $900 is notably less than the market rent of $1,400, and the home value of $201,080 is below typical levels. These factors, along with the high renter share, make it an attractive location for those interested in Section 8 properties.

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.