Section 8 Fair Market Rent (FMR) for ZIP 68634 - 2027

Investment Score for ZIP 68634

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

Investment Analysis by Bedroom Size

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

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

A decision tree for evaluating whether to purchase properties in ZIP code 68634 for Section 8 investment hinges on three key questions:

1. Does the Fair Market Rent (FMR) of $1,060 cover the debt service on a property valued at $216,944?

• If yes, proceed to the next question. For a property priced at $216,944, typical financing terms would need to be considered to ensure that the monthly rental income of $1,060 can indeed cover the mortgage payment, property taxes, insurance, and maintenance costs.
• If no, do not invest. The FMR of $1,060 must sufficiently cover all debt service obligations; otherwise, the investment will not be financially viable.

2. How does the market rent of $1,313 compare to the FMR?

• If market rent is above FMR, it indicates a potentially strong market position where you could consider charging higher rents to non-Section 8 tenants, thus diversifying your income sources.
• If market rent is equal to or slightly below FMR, it suggests a balanced market where the Section 8 program aligns closely with local rental prices, making the investment straightforward but less lucrative for non-program tenants.
• If market rent is significantly below FMR, this could signal an overpriced Section 8 program relative to the local market, which might deter potential tenants outside of the program, leading to lower overall occupancy rates.

3. Is there sufficient demand with 4.2% of the population being renters and the Days on Market (DOM) status?

• If yes, meaning that the 4.2% of renters represents a robust tenant pool and the DOM (days on market) is low or reasonable, indicating quick turnover of rental units, then the area shows promise for Section 8 investments.
• If no, due to either a small tenant pool or high DOM suggesting difficulty in finding tenants, then the investment may face challenges in maintaining consistent occupancy.
• If it depends, evaluate further specifics such as the exact number of available Section 8 vouchers, the competition for these vouchers, and any trends in rental demand that might influence future availability.

The final decision will depend on how these factors interplay. If the FMR covers debt service, market rent is favorable, and there's ample demand, the answer is a clear yes. If any of these conditions are not met, reconsideration is advised, leading to a no or it depends outcome based on the specifics of the situation.

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.