Location: Fayette County, IA | Metro: Buchanan County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $790 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,430 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
U.S. Census Bureau data (2024)
The ZIP code 50607 is situated in a small, tight-knit community in Iowa, characterized by a modest population of just 403 residents. Only 5.3% of these residents are renters, indicating a primarily owner-occupied area. The median household income stands at $54,583, reflecting a middle-class neighborhood where most residents can afford homeownership. The median home value in this ZIP code is $236,063, suggesting that properties here are reasonably priced compared to larger metropolitan areas.
Moving into the realm of rental economics, the Fair Market Rent (FMR) for ZIP 50607, as set by HUD for fiscal year 2026, is $1,000. This figure represents the maximum amount that a landlord can charge a Section 8 tenant for rent. However, the actual market rent, according to the Census Bureau's American Community Survey (ACS), is slightly lower at $958. This indicates that landlords participating in the Section 8 program can expect to receive close to the maximum allowable rent, which aligns well with the local market conditions.
Given the characteristics of ZIP 50607, it is a suitable location for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the alignment between FMR and market rent means steady, predictable cash flows without the need for significant property improvements. On the other hand, for value-add buyers looking to enhance their investment, there is potential to increase property values above the current median of $236,063, especially given the modest population and the possibility of targeting first-time homeowners or investors seeking stable returns.
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.