Section 8 Fair Market Rent (FMR) for ZIP 50007 - 2027

Location: Des Moines-West Des Moines, IA | Metro: Des Moines-West Des Moines, IA HUD Metro FMR Area

Investment Score for ZIP 50007

N/A
Monthly Rent (2BR)
$1,180
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$980
1 Bedroom$1,020
2 Bedrooms$1,180
3 Bedrooms$1,620
4 Bedrooms$1,830
5 Bedrooms$2,123
6 Bedrooms$2,378
7 Bedrooms$2,568
8 Bedrooms$2,696

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
3BR $1,620 $368,486 0.44% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
444
Median Household Income
$120,417
Housing Units
179
Renter Percentage
N/A
Occupancy Rate
99.4%
Renter Occupied
0

The economics of Section 8 housing in ZIP code 50007 are straightforward. For a two-bedroom apartment, the SAFMR (Small Area Fair Market Rent) is set at $1050 for the fiscal year 2024. This SAFMR figure is specific to this ZIP code, meaning it reflects the rental rates considered fair within 50007.

Local market rents for a similar two-bedroom unit are currently unavailable, which makes direct comparison challenging. However, the SAFMR serves as a reliable benchmark for landlords who participate in the Section 8 program.

A voucher payment under Section 8 covers a significant portion of the rent but not all. The reimbursement formula includes the tenant's portion, which is typically 30% of their adjusted income, plus any utility allowances. If we assume an average adjusted income of $1750 per month for a household in ZIP 50007, the tenant would contribute $525 toward the rent ($1750 * 0.3).

This leaves the remaining $525 to be covered by the utility allowance and the actual voucher payment. Utility allowances can vary but are usually around $200-$300 per month, depending on the region and type of utilities. Therefore, the voucher itself would cover approximately $750-$850 of the total $1050 rent, assuming a utility allowance of $200-$300.

In ZIP 50007, landlords participating in Section 8 for a two-bedroom apartment can expect a reimbursement gap. With the SAFMR at $1050 and the voucher covering roughly $750-$850, landlords must account for a shortfall of about $200-$300 per month. This gap represents the difference between the market rent allowed by the program and what the voucher actually reimburses.

To summarize, the typical reimbursement for a two-bedroom apartment in ZIP 50007 under the Section 8 program will result in a $200-$300 monthly gap. Landlords should consider this when deciding whether to participate in the program, as it directly impacts their cash flow and financial planning.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.