Location: Nance County, NE | Metro: Merrick County, 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 | $740 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,220 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,220 | $234,757 | 0.52% | F |
U.S. Census Bureau data (2024)
The ZIP code 68638 stands out with a unique blend of demographics and housing economics that could be advantageous for landlords and small-portfolio investors. With a total of 1,664 residents, it has a rental rate of 29.5%, indicating a significant portion of the population relies on rented properties. The median income in this area is $56,917, which is relatively modest but still supports a reasonable standard of living. Notably, the median home value is quite high at $162,004, suggesting strong property values and potential appreciation.
Moving to the voucher economics, the Fair Market Rent (FMR) for ZIP 68638 is set at $870 for fiscal year 2024, compared to the market rent of $817 as reported by the Census Bureau's American Community Survey (ACS). This indicates that Section 8 vouchers can potentially cover slightly above-market rents, making these properties attractive to landlords who might otherwise face challenges in finding tenants willing to pay higher rates. The difference between the FMR and the market rent, while not substantial, can provide a buffer that helps landlords maintain profitability without overpricing their units.
Evaluating the overall data signature, ZIP 68638 appears to be in a stable phase. Its established median home value suggests a mature real estate market where property values have likely stabilized. However, the relatively low median income combined with a higher-than-average rental rate could hint at some transitional dynamics, particularly if there are underlying economic shifts affecting the local job market or industry. For now, the combination of modest income levels and higher property values suggests a balanced environment where Section 8 can play a pivotal role in sustaining the rental market.
To summarize, landlords and small-portfolio investors should view ZIP 68638 as a promising investment opportunity, leveraging the support of Section 8 vouchers to ensure steady occupancy and returns. The slight premium offered by FMR over market rates can help offset any risks associated with lower median incomes. The data points to a stable yet potentially evolving market, making it a good choice for those looking for both security and growth potential in their real estate investments.
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.