Location: Humboldt County, IA | Metro: Humboldt County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,360 |
| 4 Bedrooms | $1,610 |
| 5 Bedrooms | $1,868 |
| 6 Bedrooms | $2,092 |
| 7 Bedrooms | $2,259 |
| 8 Bedrooms | $2,372 |
U.S. Census Bureau data (2024)
To understand how Section 8 economics work in ZIP 50545, it's essential to know the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code is set at $1,040 per month for fiscal year 2026. This figure is critical because it represents the maximum amount that the housing authority will pay on behalf of the tenant.
The SAFMR is used to determine the rental subsidy amount. When a tenant receives a voucher, they are responsible for paying 30% of their adjusted monthly income towards rent. The remainder of the rent up to $1,040 is covered by the housing assistance payment (HAP) contract. For example, if a tenant has an adjusted monthly income of $1,500, they would be expected to contribute $450 towards the rent ($1,500 x 0.3 = $450).
In ZIP 50545, the landlord would receive the tenant's contribution of $450 plus the HAP contract payment of $590, totaling $1,040. It's important to note that the SAFMR does not account for utilities, which are typically covered by separate allowances. These allowances can vary but generally add around $100-$200 to the total monthly reimbursement.
Given that the local market rent is currently not available, we cannot provide a direct comparison between the SAFMR and the market rates. However, the typical reimbursement gap or surplus can still be calculated based on the SAFMR. If the market rent for a two-bedroom apartment exceeds $1,040, the landlord would have to cover the difference out of pocket. Conversely, if the market rent is below $1,040, the landlord would benefit from the surplus.
For instance, if the market rent for a two-bedroom apartment is $1,200, the landlord would receive $1,040 from the Section 8 program plus any applicable utility allowance, resulting in a shortfall of $160 per month. On the other hand, if the market rent is $800, the landlord would receive the full $800 plus the utility allowance, leading to a surplus.
In ZIP 50545, landlords should expect a reimbursement of $1,040 for a two-bedroom unit, with additional utility allowances. The actual economic impact will depend on the local market conditions, which are currently unavailable. Landlords must carefully consider these factors when deciding whether to participate in the Section 8 program.
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.