Location: Platte County, NE | Metro: Madison County, NE
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 | $730 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,340 |
| 4 Bedrooms | $1,380 |
| 5 Bedrooms | $1,601 |
| 6 Bedrooms | $1,793 |
| 7 Bedrooms | $1,936 |
| 8 Bedrooms | $2,033 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,010 | $248,533 | 0.41% | F |
| 3BR | $1,340 | $319,924 | 0.42% | F |
| 4BR | $1,380 | $329,093 | 0.42% | F |
U.S. Census Bureau data (2024)
The neighborhood in ZIP code 68642, located in Humphrey, Nebraska, is characterized by a relatively small population of 1,628 residents. With only 12.1% of the population being renters, it is predominantly a homeowner community, reflecting a stable and possibly affluent demographic. The median household income in this area stands at $93,798, indicating a high level of economic comfort among the residents. This is further supported by the median home value of $356,894, which suggests a robust housing market with significant property values.
Transitioning into the specifics of rental economics, the Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $960. However, the actual market rent, as per the Census ACS data, is notably lower at $711. This discrepancy highlights an opportunity for investors who can navigate the local rental market effectively, potentially leveraging the gap between FMR and actual rents to attract Section 8 tenants.
Given these economic parameters, ZIP 68642 presents a mixed scenario for potential investors. For those looking for a hands-off approach, the low percentage of renters and the disparity between FMR and market rents might pose challenges in finding enough Section 8 tenants to fill properties. On the other hand, for hands-on value-add buyers, there is room to improve properties and offer competitive rents that align closer with the FMR, thereby attracting a broader tenant base, including those eligible for Section 8 assistance. This strategy could involve renovating older homes or adding amenities to make units more attractive to higher-income renters while still qualifying for government subsidies.
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.