Location: Howard County, NE | Metro: Hall 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 | $800 |
| 1 Bedroom | $970 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,380 |
| 4 Bedrooms | $1,810 |
| 5 Bedrooms | $2,100 |
| 6 Bedrooms | $2,352 |
| 7 Bedrooms | $2,540 |
| 8 Bedrooms | $2,667 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,380 | $328,809 | 0.42% | F |
U.S. Census Bureau data (2024)
The Section 8 analysis for ZIP code 68831 highlights a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR stands at $940, while the Census ACS reports the market rent at $950. This represents a $10 difference, or approximately 1.05% gap, favoring the market rent.
In this context, where only 20.6% of residents are renters and the median income is $68,977, landlords might be inclined to consider the benefits of renting to voucher holders. However, the FMR being slightly lower than the market rent means that landlords accepting Section 8 vouchers will receive rents that are below the open-market rates. This can impact the overall profitability of rental properties in the area.
Given the median home value of $306,126, it's important for landlords and small-portfolio investors to understand the implications of this gap. The slight discrepancy suggests that while there is potential for stable tenancy due to the government-backed vouchers, the yield on investment may be somewhat lower compared to what could be achieved in an open-market scenario.
To summarize, the gap of $10 or 1.05% between the FMR and market rent indicates that landlords should carefully weigh the advantages of tenant stability against the lower rental income when considering participation in the Section 8 program. The decision should also take into account the broader economic conditions of ZIP 68831, including the relatively high median home value and median income levels.
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.