Location: Wayne County, IA | Metro: Decatur County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,670 |
| 5 Bedrooms | $1,937 |
| 6 Bedrooms | $2,169 |
| 7 Bedrooms | $2,343 |
| 8 Bedrooms | $2,460 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors targeting ZIP code 50103 within the Wayne County, IA metro area reveals several key insights. The HUD Fair Market Rent (FMR) for the metro scope in fiscal year 2026 is set at $1,090. In comparison, the market rent based on Census ACS data is significantly lower at $725. This means that voucher tenants will cashflow at the FMR level, providing a substantial buffer between the HUD payment and the actual market rent.
To further understand the investment potential, consider the median home value in ZIP 50103, which stands at $202,000. Using this figure, we can derive the rent-to-price ratio. With a monthly rent of $725, the annual rent is approximately $8,700. Dividing this by the median home value gives us a rent-to-price ratio of about 4.3%. This indicates that rental income represents a modest portion of the property's value, suggesting that the primary benefit for investors would likely come from stable rental income rather than high rental yields.
The data does not provide a median Days on Market (DOM) or a percentage of price cuts, but these metrics typically do not impact the decision to invest in Section 8 properties as much as they would affect traditional buy-and-rent strategies. The primary concern for Section 8 investors is the reliability of HUD payments and the stability of occupancy rates, both of which are generally favorable in this area.
In conclusion, the strongest investor angle for Section 8 properties in ZIP 50103 is cashflow. The significant difference between the HUD FMR and the market rent ensures a steady and reliable income stream, making it an attractive option for landlords and small-portfolio investors looking for financial security in their real estate investments.
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.