Location: Des Moines-West Des Moines, IA | Metro: Des Moines-West Des Moines, 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 | $960 |
| 1 Bedroom | $1,000 |
| 2 Bedrooms | $1,190 |
| 3 Bedrooms | $1,620 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,620 | $461,961 | 0.35% | F |
U.S. Census Bureau data (2024)
The market in ZIP 50229 presents a dynamic scenario that reflects the balance between supply and demand. With a Fair Market Rent (FMR) of $990 for the fiscal year 2024, it's evident that the government benchmark is significantly lower than the actual market rent, which stands at $2,096 according to the latest Census American Community Survey (ACS). This discrepancy suggests that the rental market is robust, likely indicating a situation where demand is strong relative to supply.
The median home value of $491,738 also provides insight into the overall health and attractiveness of the housing market. High median values can be indicative of a stable economy and a favorable environment for property investment, as they often correlate with higher rents and potential capital appreciation.
A key figure to consider is the 4.4% renter share, which is relatively low. This percentage tells us that a significant majority of the population in ZIP 50229 owns their homes rather than renting. While this might seem positive on the surface, it could imply long-term housing pressure as fewer units are available for rent, potentially driving up rental prices further. The low renter share also suggests that there is a strong preference for homeownership in the area, which could impact the supply of rental properties if landlords decide to sell their properties and become homeowners themselves.
The absence of data regarding the percentage of price-cut share and days on market (DOM) does not allow for a complete analysis of the rental market's liquidity and pricing dynamics. However, the fact that these metrics are not reported could indicate that the market is relatively stable, without significant fluctuations that would necessitate frequent price adjustments or prolonged vacancy periods.
In summary, ZIP 50229 appears to be a market where demand is currently strong, especially in the rental sector, given the substantial gap between FMR and market rent. The high median home value supports this notion, while the low renter share suggests a trend towards homeownership that could create long-term pressure on the availability of rental units. For landlords and small-portfolio investors, this market offers opportunities but also challenges related to maintaining competitive rental rates and managing the transition from rental to owner-occupied properties.
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.