Location: Des Moines-West Des Moines, 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 | $790 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $990 | $228,260 | 0.43% | F |
| 3BR | $1,370 | $300,179 | 0.46% | F |
| 4BR | $1,480 | $370,205 | 0.4% | F |
U.S. Census Bureau data (2024)
The ZIP code 50156 in Madrid, IA, is a distinct area within Boone County, characterized by a relatively small population of 4,575 residents. Only 11.8% of these residents are renters, indicating that homeownership is prevalent in the area. The median income in ZIP 50156 is $98,054, which is above the national average, and the median home value stands at $285,280, reflecting a stable and affluent community.
In terms of Section 8 housing economics, the Fair Market Rent (FMR) for ZIP 50156 in fiscal year 2024 is set at $970. This is notably higher than the current market rent of $768, as reported by the Census Bureau's American Community Survey. Landlords in this area can benefit from the higher FMR rates, as they can receive payments closer to the actual cost of renting properties in the area. However, it's important to note that the discrepancy between the FMR and market rent might also indicate challenges in attracting tenants who qualify for Section 8 vouchers, due to the lower market rents.
The data signature for ZIP 50156 suggests a stable environment. With a high median income and median home value, coupled with a low percentage of renters, the area is less likely to experience significant transitional changes. For landlords and small-portfolio investors, this stability means that there is a reliable tenant base and predictable rental income. The higher FMR compared to market rent provides an additional incentive for those willing to participate in the Section 8 program, ensuring that they receive fair compensation for their properties.
Overall, ZIP 50156 presents a favorable scenario for landlords and investors looking for a steady investment climate with the added benefit of Section 8 support. The economic indicators point towards a community that is financially secure and unlikely to undergo rapid changes in the near future.
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.