Section 8 Fair Market Rent (FMR) for ZIP 68623 - 2027

Location: Nance County, NE | Metro: Boone County, NE

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$730
1 Bedroom	$930
2 Bedrooms	$1,010
3 Bedrooms	$1,210
4 Bedrooms	$1,340
5 Bedrooms	$1,554
6 Bedrooms	$1,740
7 Bedrooms	$1,879
8 Bedrooms	$1,973

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

356

Median Household Income

$69,167

Housing Units

190

Renter Percentage

28.7%

Occupancy Rate

86.3%

Renter Occupied

When considering whether to invest in ZIP code 68623 for Section 8 properties, follow these steps:

Step 1: Clearing Debt Service

If you're evaluating a property priced at $115,261, the Fair Market Rent (FMR) of $960 for the metro area in fiscal year 2026 must be sufficient to cover your debt service.

Yes - The FMR of $960 is adequate if your annual debt service does not exceed this amount. This includes mortgage payments, property taxes, insurance, and maintenance costs. For instance, if your total annual debt service is less than $11,520 ($960 x 12 months), then the FMR clears your debt service.

No - If your annual debt service exceeds $11,520, the FMR will not cover your costs, making this ZIP code unsuitable for Section 8 investment.

Step 2: Market Rent Comparison

The average market rent in ZIP 68623 is $579 according to Census ACS data. Compare this figure to the FMR:

$579 is below the FMR of $960, indicating that tenants might find it easier to afford their portion of the rent under the Section 8 program.

Yes - A lower market rent suggests a positive outlook, as it means that the FMR can provide a buffer against tenant default, ensuring stability in rental income.

No - If the market rent were higher than the FMR, it would make the property less attractive to potential Section 8 tenants.

Step 3: Demand Assessment

In ZIP 68623, 28.7% of residents are renters, and the data does not specify the days on the market (DOM) for vacant rentals. Here's how to assess demand:

Yes - If the vacancy rate is low and properties are rented quickly, the 28.7% of renters can sustain a Section 8 portfolio.
No - If there is high competition among rental properties and long DOM, demand may not be robust enough to support Section 8 investments.
It Depends - Without specific DOM data, evaluate other factors such as job growth, population trends, and local economic indicators to gauge the strength of demand.

Investing in ZIP 68623 for Section 8 properties requires a careful balance between the FMR covering your debt service, market rents being below the FMR, and sufficient demand from renters. With the given figures, the FMR is likely to cover your costs, and the market rent is favorable. However, the lack of DOM data means demand assessment requires further investigation into local market conditions.

Data Sources: FMR data from HUD (2027). 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.