Location: Des Moines-West Des Moines, 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 | $830 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,420 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,040 | $219,265 | 0.47% | F |
| 3BR | $1,420 | $299,636 | 0.47% | F |
| 4BR | $1,500 | $377,846 | 0.4% | F |
U.S. Census Bureau data (2024)
The ZIP code 50276, located in Woodward, Iowa, presents a unique investment scenario when analyzed through the lens of yield and stability for Section 8 real estate. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $970, which is significantly higher than the median home value of $287,973, indicating a potential high-yield market due to the disparity between rental income and property value. However, the lack of market rental data suggests that the FMR is a critical benchmark for rental pricing in this area.
On the stability axis, the market shows some signs of volatility. With only 11.6% of the population being renters, the demand for rental properties is relatively low, which could translate into higher vacancy rates and increased difficulty in tenant placement. The absence of data regarding days on market (DOM) further complicates the assessment of how quickly properties can be leased. Additionally, the average household income of $91,827 provides insight into the economic strength of the area but does not directly correlate to the financial stability of potential tenants.
Given these factors, ZIP 50276 leans towards a high-yield/low-stability classification. The high FMR relative to the median home value suggests attractive returns for those willing to navigate the challenges posed by a smaller rental market. However, the limited renter population and unknown DOM metrics indicate that the cash flow might not be as consistent or reliable as in more stable markets. For landlords and small-portfolio investors, this area represents an opportunity for significant returns if they can effectively manage the risks associated with lower tenant density and potentially longer periods of vacancy.
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.