Location: Worth County, IA | Metro: Mitchell County, IA
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 | $760 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,340 |
| 5 Bedrooms | $1,554 |
| 6 Bedrooms | $1,740 |
| 7 Bedrooms | $1,879 |
| 8 Bedrooms | $1,973 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,020 | $173,486 | 0.59% | F |
| 3BR | $1,310 | $249,854 | 0.52% | F |
| 4BR | $1,340 | $334,117 | 0.4% | F |
U.S. Census Bureau data (2024)
The ZIP code 50472, located in Saint Ansgar, Iowa, presents an interesting scenario for real-estate investment when analyzed through the lens of yield and stability. On the yield axis, the Federal Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,040, while the market rent stands at $841. This indicates a notable gap between government-assisted rental rates and the local market, suggesting a potential for higher yields through Section 8 properties.
However, the median home value in the area is significantly lower at $239,002, which means that the overall real estate market is not as robust as other regions. This could limit the appreciation potential of investments in the area.
Moving to the stability axis, the data shows that only 16.1% of residents are renters, which is relatively low compared to many urban areas. The median household income is $93,482, indicating a strong economic base but also a preference among residents for homeownership. The lack of data on days on market (DOM) suggests that rental turnovers might be less frequent, contributing to a more stable cash flow environment.
Based on these figures, ZIP 50472 leans towards being a steady-cashflow zone rather than a high-yield/low-stability flip-style market. The low percentage of renters and the solid median income point towards a stable tenant base, even though the market rent is below the FMR. Investors should focus on long-term rental strategies and expect moderate returns rather than rapid appreciation or high turnover rates.
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.