FY2027 Small Area FMR · Shelbyville, KY
ZIP 40065 Fair Market Rent & Payment Standards
HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 40065 (Shelbyville, KY) is $1,160 a month, up 0.9% from FY2026. That is 9% below the Louisville, KY-IN area-wide FMR of $1,276.
Payment standard range, 2 bedrooms
Housing agencies may set voucher payment standards anywhere from 90% to 110% of the FMR without asking HUD.
FY2027 FY2026
Where 40065 sits in the Louisville, KY-IN area
Of the 130 ZIP codes HUD lists for the area, 40065 has the 82nd highest two-bedroom Small Area FMR. Louisville, KY-IN is one of the 65 metro areas where HUD requires Small Area FMRs for the Housing Choice Voucher program (designated 2023), so local housing agencies must set payment standards from this ZIP code's figure, normally between $1,044 and $1,276 for two bedrooms.
ZIP code 40065 crosses more than one HUD area. HUD also lists it under Shelby County, KY (same figures). The figure that applies depends on which side of the line the home is.
All unit sizes
| Unit | FY2027 SAFMR | Payment standard range | Area-wide FMR | FY2026 SAFMR |
|---|---|---|---|---|
| Studio | $880 | $792 – $968 | $976 | $960 |
| 1 bedroom | $1,010 | $909 – $1,111 | $1,058 | $1,030 |
| 2 bedrooms | $1,160 | $1,044 – $1,276 | $1,276 | $1,150 |
| 3 bedrooms | $1,380 | $1,242 – $1,518 | $1,629 | $1,430 |
| 4 bedrooms | $1,710 | $1,539 – $1,881 | $1,874 | $1,710 |
A household renting a two-bedroom home at the Small Area FMR of $1,160 needs about $46,400 a year to keep housing costs at 30% of income. The area median family income is $99,000 and the 80% low-income limit for four people is $79,200. ZIP code 40065 lies mainly in Shelby County and Spencer County. See the Louisville, KY-IN metro page for the full income limits table and the household check.
Nearby ZIP codes
Questions
What is the Fair Market Rent for ZIP code 40065?
HUD's FY2027 Small Area Fair Market Rents for 40065 are $880 (studio), $1,010 (1 BR), $1,160 (2 BR), $1,380 (3 BR) and $1,710 (4 BR) a month.
What is the Section 8 payment standard in 40065?
Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 40065 that range is $1,044 to $1,276 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.
Which income limits apply in 40065?
The FY2026 income limits of the Louisville, KY-IN area apply: median family income $99,000, low-income (80%) limit $79,200 for a family of four.