Location: Greene County, IA | Metro: Boone County, 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 | $900 |
| 1 Bedroom | $940 |
| 2 Bedrooms | $1,120 |
| 3 Bedrooms | $1,520 |
| 4 Bedrooms | $1,570 |
| 5 Bedrooms | $1,821 |
| 6 Bedrooms | $2,040 |
| 7 Bedrooms | $2,203 |
| 8 Bedrooms | $2,313 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $940 | $103,025 | 0.91% | C |
| 2BR | $1,120 | $135,412 | 0.83% | C |
| 3BR | $1,520 | $190,206 | 0.8% | D |
| 4BR | $1,570 | $225,607 | 0.7% | D |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 50220, which includes Perry, IA, and parts of Dallas County and Greene County, reveals a favorable environment for rental properties. The HUD Fair Market Rent (FMR) for the area is set at $970 for fiscal year 2024, while the market rent based on Census ACS data is $938. This indicates that voucher tenants will cashflow at the FMR rate, providing a slight buffer over market rates.
To further understand the investment potential, consider the median home value in the area, which stands at $172,632. Using this figure, we can calculate a rent-to-price ratio. Assuming a typical mortgage payment of around $800 (based on a 30-year fixed-rate mortgage at 5%), the property would need to be rented at approximately $1,100 to cover both the mortgage and other costs such as insurance, taxes, and maintenance. However, given the current market rent of $938, the actual rent-to-price ratio is more conservative, suggesting a stable market where property values are in line with rental incomes.
The dynamics between renting and buying are also important. In ZIP 50220, the median Days on Market (DOM) is N/A, indicating a lack of significant data on how long homes typically stay on the market. Additionally, the share of homes that have undergone price cuts is 0.3%, which is minimal. These factors suggest that the local real estate market is stable, with little pressure on home prices.
In conclusion, the strongest investor angle in ZIP 50220 is cashflow. With voucher tenants paying above the market rent and a median home value that supports reasonable rent-to-price ratios, investors can expect steady income from their properties without the need for aggressive pricing strategies. The stability in the housing market further enhances the attractiveness of this area for long-term investments.
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.