Location: Pierce County, NE | Metro: Madison County, NE
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,380 |
| 4 Bedrooms | $1,640 |
| 5 Bedrooms | $1,902 |
| 6 Bedrooms | $2,130 |
| 7 Bedrooms | $2,300 |
| 8 Bedrooms | $2,415 |
U.S. Census Bureau data (2024)
In ZIP code 68752, the economics of Section 8 housing can be broken down into specific financial parameters that affect landlords and small-portfolio investors. The SAFMR (Section 8 Area Fair Market Rent) for a two-bedroom apartment in this ZIP is set at $980 per month for FY 2026. This figure represents the maximum amount that the government will pay towards the rental costs for eligible tenants under the Section 8 program.
The local market rent for a similar two-bedroom unit, according to the Census ACS data, is $1,097 per month. This is the average rent that landlords might expect to receive from non-voucher tenants in the same area.
A voucher payment structure involves several components. The voucher itself covers the difference between the tenant's contribution and the total rent. Tenants typically contribute 30% of their adjusted income toward the rent. If we assume an average adjusted income of $1,600 for a household in this area, the tenant would contribute approximately $480 per month toward the rent.
The remaining amount is supposed to come from the voucher. However, the voucher cannot exceed the SAFMR. Therefore, the voucher would cover the rest of the rent up to the SAFMR limit. In this case, the voucher would pay $500 per month to make up the difference between the tenant's contribution and the SAFMR, totaling $980.
Additionally, utility allowances are factored into the voucher payment. These allowances vary but are generally around $200-$300 per month. Thus, if we consider a utility allowance of $250, the total monthly reimbursement to the landlord would be around $1,230 ($980 for rent plus $250 for utilities).
However, given that the local market rent is higher at $1,097, the landlord would still face a reimbursement gap. This gap is the difference between the market rent and the total voucher payment. In ZIP 68752, this gap amounts to approximately $147 per month ($1,230 minus $1,097).
This analysis provides a clear picture of the economic realities faced by landlords participating in the Section 8 program in ZIP 68752. It shows that while the utility allowances can slightly increase the reimbursement, it does not fully bridge the gap between the SAFMR and the actual market rent. Landlords should factor this gap into their financial planning when considering participation in the Section 8 program.
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.