Location: Lincoln, 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 | $860 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,550 |
| 4 Bedrooms | $1,740 |
| 5 Bedrooms | $2,018 |
| 6 Bedrooms | $2,260 |
| 7 Bedrooms | $2,441 |
| 8 Bedrooms | $2,563 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,120 | $228,689 | 0.49% | F |
| 3BR | $1,550 | $261,059 | 0.59% | F |
U.S. Census Bureau data (2024)
A landlord considering whether to invest in ZIP 68524 (Lincoln, NE) for Section 8 properties should follow this decision tree:
1) Does the Fair Market Rent (FMR) of $1010 cover the debt service on a $260,560 property?
The first step is to calculate the expected monthly income based on the FMR. For a property valued at $260,560, the annual debt service would typically be around 1% of the property value, which is $2,605.60 per year, or approximately $217.13 per month. The FMR of $1010 is well above this amount, indicating that the answer is Yes. The FMR comfortably covers the debt service, making it financially viable to consider.
2) Is the market rent of $973 above, at, or below the FMR?
The market rent of $973 is slightly below the FMR of $1010. This means that landlords will likely receive less than the FMR from tenants who are not on Section 8. However, for Section 8 properties, the rent will be set at the FMR level. Therefore, the answer is Below. Despite this, Section 8 properties are guaranteed a fixed rent, which can be advantageous in a volatile rental market.
3) Are 40.3% renters plus the unknown days on market (DOM) sufficient to meet demand?
In ZIP 68524, 40.3% of the population are renters. This percentage suggests a moderate demand for rental properties. However, the lack of data on days on market (DOM) makes it difficult to assess how quickly properties are being rented out. Given the available information, the answer is It Depends.
To conclude, if a landlord is willing to invest in a property where the guaranteed rent is slightly above the market rate and the rental demand is moderate, then ZIP 68524 could be a suitable investment for Section 8 properties. However, the final decision should take into account the specific DOM data for this area, which would clarify the speed at which rental properties are occupied.
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.