Location: Worth County, IA | Metro: Mitchell County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $940 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,260 |
| 5 Bedrooms | $1,462 |
| 6 Bedrooms | $1,637 |
| 7 Bedrooms | $1,768 |
| 8 Bedrooms | $1,856 |
U.S. Census Bureau data (2024)
The ZIP code 50426 presents several challenges for landlords considering Section 8 investments. Tenant turnover is a significant concern due to the discrepancy between the market rent of $767 and the Fair Market Rent (FMR) of $1,040 for FY 2026 in the metropolitan area. This gap suggests that tenants might seek higher-quality housing outside of the Section 8 program, leading to increased turnover rates.
Vacancy exposure is another issue. The average days on market (DOM) is not available, which makes it difficult to predict how long properties might remain vacant. This uncertainty can lead to financial strain, especially if vacancies persist for extended periods.
Deferred maintenance is also a risk factor. With a median income of $74,107 and no typical home value provided, there's a potential for landlords to face higher-than-average repair costs without the assurance that property values justify the investment. This situation can be particularly challenging when dealing with rental properties that require frequent maintenance and upgrades to meet housing quality standards.
However, these risks must be weighed against the high renter share in the area, which stands at 15.1%. High renter density generally indicates a robust demand for housing vouchers, potentially stabilizing occupancy rates and reducing vacancy exposure. Landlords who can manage the financial aspects of deferred maintenance and tenant turnover effectively stand to benefit from the strong presence of renters in ZIP 50426.
Verdict: Moderate risk for a first-time Section 8 landlord.
Data Sources: FMR data from HUD (2027). 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.