Section 8 Fair Market Rent (FMR) for ZIP 50158 - 2027

Location: Tama County, IA | Metro: Marshall County, IA

Investment Score for ZIP 50158

C
Monthly Rent (2BR)
$940
Median Price (2BR)
$117,156
1% Rule
0.8%
Annual Yield
9.63%

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$700
1 Bedroom$720
2 Bedrooms$940
3 Bedrooms$1,230
4 Bedrooms$1,240
5 Bedrooms$1,438
6 Bedrooms$1,611
7 Bedrooms$1,740
8 Bedrooms$1,827

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
1BR $720 $74,316 0.97% C
2BR $940 $117,156 0.8% C
3BR $1,230 $183,131 0.67% D
4BR $1,240 $228,125 0.54% F
5BR $1,438 $296,843 0.48% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
31,396
Median Household Income
$70,367
Housing Units
12,831
Renter Percentage
28.4%
Occupancy Rate
91.9%
Renter Occupied
3,345

With a Fair Market Rent (FMR) of $960 for the metro area in fiscal year 2026, landlords in ZIP code 50158, Marshalltown, IA, can expect to align their rental pricing with federal standards. The Zillow Observed Rent Index (ZORI) stands at $1,043, indicating that market rents slightly exceed the FMR, providing a modest premium for property owners. The median home value in the area is $174,165, reflecting a stable housing market where properties are reasonably priced for both residents and investors. Renter share in the community is 28.4%, suggesting a significant portion of the population relies on rental housing, which can be beneficial for landlords looking to fill vacancies. Median income in the area is recorded at $70,367, offering insight into the financial capacity of potential tenants. The days on market (DOM) for listings is 34, a relatively short period that speaks to the demand for available properties. Furthermore, the 0.2% price-cut share indicates that few landlords need to lower their prices to attract tenants, implying strong rental market conditions. Given these figures, the verdict for Section 8 participation in ZIP code 50158 is positive, as it offers a viable option for landlords to ensure steady occupancy while adhering to federal guidelines.

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.