Location: Hardin County, IA | Metro: Ames, IA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $880 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,750 |
| 5 Bedrooms | $2,030 |
| 6 Bedrooms | $2,274 |
| 7 Bedrooms | $2,456 |
| 8 Bedrooms | $2,579 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,450 | $228,466 | 0.63% | D |
U.S. Census Bureau data (2024)
239843 In ZIP code 50154, the median home value stands at $239,843, offering a solid foundation for investment opportunities. 69219 The median income of $69,219 suggests a moderate economic base, which can support rental activities. 257 However, only 25.7% of residents are renters, indicating a relatively smaller pool of potential Section 8 tenants compared to other areas. 676 Market rent, as reported by the Census ACS, averages $676, providing a benchmark for pricing strategies. 890 The Fair Market Rent (FMR) for Section 8 in zip code 50154 is set at $890, which is notably higher than the market rent, potentially offering a financial advantage for landlords participating in the program. NAA The data does not provide the average days on market (DOM), making it challenging to assess how quickly properties typically sell in this area. NAA Similarly, the percentage of homes that require price cuts is also not available, leaving some uncertainty about the competitiveness of the local real estate market. 239843 Given the median home value and the established FMR, properties in ZIP 50154 can be attractive for Section 8 investments, especially if they are priced close to the market average but still qualify for the higher subsidy rates. 69219 With the median income being $69,219, there is a reasonable balance between affordability and the ability to pay higher rents through subsidies. 257 Although the renter share is 25.7%, which is lower than some other regions, the higher FMR compensates for this limitation, ensuring a steady stream of income for landlords. 890 The $890 FMR provides a clear incentive for landlords to consider Section 8 tenants, as it ensures a competitive rent level that can cover maintenance and operational costs effectively. 239843 For small-portfolio investors looking to enter the ZIP 50154 market, focusing on properties around the median home value could offer a strategic entry point, balancing investment cost with potential returns. 890 The verdict on Section 8 participation in ZIP 50154 is positive, given the favorable subsidy rates.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.