Section 8 Fair Market Rent (FMR) for ZIP 50533 - 2027

Location: Wright County, IA | Metro: Humboldt County, IA

Investment Score for ZIP 50533

A
Monthly Rent (2BR)
$1,160
Median Price (2BR)
$84,775
1% Rule
1.37%
Annual Yield
16.42%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$860
1 Bedroom$890
2 Bedrooms$1,160
3 Bedrooms$1,390
4 Bedrooms$1,530
5 Bedrooms$1,775
6 Bedrooms$1,988
7 Bedrooms$2,147
8 Bedrooms$2,254

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,160 $84,775 1.37% A
3BR $1,390 $134,177 1.04% B
4BR $1,530 $157,682 0.97% C

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
3,977
Median Household Income
$65,595
Housing Units
1,696
Renter Percentage
25.9%
Occupancy Rate
89.9%
Renter Occupied
395

The classification of ZIP 50533, Eagle Grove, IA, on the axes of yield and stability reveals a market that offers moderate potential for both cash flow and tenant retention. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,080, while the local market rent stands at $996. This indicates a slight premium for federally-assisted housing units, suggesting a modest opportunity for higher yields through Section 8 participation.

However, the median home value in Eagle Grove is $118,868, which is relatively low compared to other areas. This could imply that the property values are not inflated, potentially making it easier for landlords to enter the market without a significant capital investment. But it also means that the overall economic conditions might be less robust, affecting the stability of rental income.

The stability of the market is influenced by several factors. With 25.9% of residents being renters, there is a noticeable but not overwhelming presence of the rental market. The lack of data on days on market (DOM) makes it difficult to assess how quickly properties can be leased or re-leased, which is a key indicator of stability. However, the median household income of $65,595 suggests that tenants have a reasonable ability to pay rent, which supports a stable cash flow.

To summarize, ZIP 50533 leans towards a steady-cashflow zone rather than a high-yield/low-stability flip-style market. The slightly lower local market rent compared to the FMR, combined with the modest median home value, points to a market where landlords can expect consistent, if not exceptionally high, returns. The moderate renter population and decent household income indicate a stable environment for maintaining long-term tenants, which is beneficial for small-portfolio investors seeking predictable income.

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.