Location: Poweshiek County, IA | Metro: Mahaska County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,240 |
| 5 Bedrooms | $1,438 |
| 6 Bedrooms | $1,611 |
| 7 Bedrooms | $1,740 |
| 8 Bedrooms | $1,827 |
U.S. Census Bureau data (2024)
The economic landscape of ZIP code 50027, where the median household income stands at $52,976, presents a challenging scenario for renters facing a market rate of $824 per month (based on Census ACS data). This makes up a significant portion of their annual income, specifically around 19.7% of the median income when considering monthly expenses alone.
In comparison, the Fair Market Rent (FMR) set at $930 for metro areas in fiscal year 2026, which is the standard payment amount for housing vouchers, is even higher than the market rate. This suggests that the typical renter in this area would find it difficult to afford both the market rate and the higher voucher payment without substantial financial strain.
With 42.3% of the population being renters and a total population of 148, the competition among landlords is likely to be fierce. The affordability gap means that many potential tenants might struggle to pay market rates, leading them to seek out properties that accept vouchers. However, the higher voucher payment compared to the market rate could deter some landlords who prefer cash-paying tenants due to the perceived ease and reliability of such payments.
The takeaway for landlords is clear: accepting vouchers can potentially increase your tenant pool but comes with a higher rental cost. If you aim to attract those who might struggle with the current market rate, vouchers offer a way to bridge that gap. Conversely, focusing on cash-paying tenants might reduce competition but requires ensuring the property is priced competitively within the $824 market rate.
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.