Location: Kossuth County, IA | Metro: Kossuth County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,320 |
| 5 Bedrooms | $1,531 |
| 6 Bedrooms | $1,715 |
| 7 Bedrooms | $1,852 |
| 8 Bedrooms | $1,945 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 50556, located in Kossuth County, IA metro, reveals a significant opportunity due to the disparity between the HUD Fair Market Rent (FMR) and the actual market rent. The HUD FMR for the area is set at $960 per month for the fiscal year 2026, while the Census ACS reports an average market rent of $413 per month. This means that voucher tenants can easily cashflow at the HUD FMR, providing a substantial margin above the typical rental rates.
To further analyze the investment potential, consider the median home value in the area, which stands at $149,085. With the HUD FMR of $960, the rent-to-price ratio is approximately 12.8%, indicating that the rental income is relatively high compared to the property values. This suggests that rental properties in this ZIP code could offer attractive returns on investment.
The dynamics of days on market (DOM) and the percentage of price cuts are not available, but given the favorable rent-to-price ratio, it's likely that the buy-versus-rent decision leans heavily towards renting. This makes the rental market robust and less susceptible to fluctuations in the housing market.
In conclusion, the strongest angle for investors in ZIP code 50556 is cashflow. The generous HUD FMR compared to the lower market rents ensures that voucher tenants will cover costs and provide a reliable source of income. This makes the area particularly appealing for landlords and small-portfolio investors looking to capitalize on steady, above-market rental income.
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.