Section 8 Fair Market Rent (FMR) for ZIP 49775 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

To determine if you should buy in ZIP code 49775 for Section 8 purposes, follow these decision points:

1) Does FMR $1,480 (metro FY 2026) cover the debt service on a property?

• Yes: If your debt service can be fully covered by the Fair Market Rent (FMR) of $1,480, then you can proceed to the next step.
• No: If the FMR of $1,480 does not cover your debt service, purchasing in this area for Section 8 is not advisable. The rent will not generate sufficient income to meet financial obligations.

2) Is market rent above, at, or below FMR?

• Above: If the market rent exceeds the FMR of $1,480, landlords who do not intend to participate in the Section 8 program can still profit from higher rents. However, for Section 8 landlords, this means limited tenants willing to pay the higher rates.
• At: If market rent matches the FMR, landlords participating in the Section 8 program can expect to find tenants easily, as the rental price aligns with what participants are willing to pay.
• Below: If market rent is below the FMR, landlords might struggle to find non-Section 8 tenants willing to pay the higher rate set by the program. This could lead to reduced demand for properties outside the program.

3) Are 0.0% renters + N/A-day days on the market (DOM) indicative of enough demand?

• It depends: With 0.0% renters and an unspecified number of days on the market, it's challenging to assess demand accurately. Typically, a lower percentage of renters suggests less competition among potential tenants. However, without knowing the average DOM, it's unclear how quickly properties are rented out. If DOM is low, it indicates strong demand despite the low renter percentage. Conversely, high DOM would suggest weak demand.

Note: Due to missing specific data points such as the debt service amount, market rent, and days on the market, some branches cannot provide a definitive yes or no answer. Ensure you have all necessary information before making a final decision.

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.