Location: Sherman County, NE | Metro: Sherman County, NE
| Unit Size | Monthly FMR |
|---|---|
| Studio | $790 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,030 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,680 |
| 5 Bedrooms | $1,949 |
| 6 Bedrooms | $2,183 |
| 7 Bedrooms | $2,358 |
| 8 Bedrooms | $2,476 |
U.S. Census Bureau data (2024)
In ZIP code 68871, there are several risks to consider for first-time Section 8 landlords. Tenant turnover is a significant concern due to the disparity between the market rent and the Fair Market Rent (FMR) of $960 set for fiscal year 2026. The absence of a defined market rent figure suggests that the local rental market may be less active or competitive, which can lead to higher turnover rates as tenants seek more affordable options.
Vacancy exposure is another critical risk factor. With no data on the average days on market (DOM), it's challenging to predict how quickly a property might fill once it becomes vacant. This uncertainty can result in prolonged periods without rental income, impacting cash flow and financial stability.
The deferred maintenance exposure is substantial. Given the lack of information on typical home values but knowing the median household income is $53,125, it's likely that many residents struggle with maintaining their homes. This can translate into higher repair costs and more frequent maintenance requests for landlords, especially if they are not prepared for the financial burden of upkeep.
However, these risks are tempered by the high renter share of 12.3%. A higher percentage of renters often correlates with greater demand for housing vouchers, making it easier to find tenants who qualify for Section 8 assistance. This demand can help mitigate the impact of vacancy periods and ensure a steady stream of qualified applicants.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.