Location: Tama County, IA | Metro: Waterloo-Cedar Falls, IA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $660 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $950 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,590 |
| 5 Bedrooms | $1,844 |
| 6 Bedrooms | $2,065 |
| 7 Bedrooms | $2,230 |
| 8 Bedrooms | $2,342 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 50609 reveals a steady-cashflow zone rather than a high-yield/low-stability market. With a Fair Market Rent (FMR) of $860 for fiscal year 2024, which is above the market rent of $785, there is potential for higher rental income. However, the median home value at $211,387 means that the initial investment cost is relatively high, moderating the overall yield.
The stability axis shows a lower percentage of renters at 10.9%, indicating a primarily owner-occupied area. This is further supported by the presence of 97 fully paid-off homes, suggesting a financially stable resident population. The median household income of $90,250 supports the notion that tenants can sustain higher rents, enhancing the reliability of cash flow.
The recent real estate trends in ZIP 50609, as seen on PropertyFocus, indicate that in the past 12 months, 8 residential properties were sold, with a median home price of $90,250. This reflects a market with fewer transactions but stable prices, reinforcing the idea of a steady-cashflow environment.
In conclusion, ZIP 50609 is best classified as a steady-cashflow zone due to its higher-than-market rental rates and financially secure resident base. The limited rental population and low number of distressed properties contribute to its stability, making it suitable for long-term investments aimed at consistent, reliable returns rather than quick flips or speculative gains.
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.