Location: Butler County, IA | Metro: Bremer County, IA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,080 |
| 3 Bedrooms | $1,290 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,080 | $197,313 | 0.55% | F |
| 3BR | $1,290 | $250,461 | 0.52% | F |
| 4BR | $1,530 | $259,240 | 0.59% | F |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 50670, Shell Rock, Iowa, for fiscal year 2024 is set at $860. This figure represents the maximum amount that a landlord can receive from the Housing Choice Voucher program, also known as Section 8, for a given unit. It does not dictate the rent you should charge your tenants; rather, it serves as an upper limit for the government's contribution towards the rent.
To put this into perspective, the average rent in Shell Rock, according to the Census American Community Survey (ACS), is $931. This indicates that the FMR is slightly below the market rate, which means landlords participating in the Section 8 program might need to adjust their expectations regarding the total rent they can collect from tenants.
In Shell Rock, 12.8% of residents are renters. This statistic suggests a moderate level of demand for rental properties, meaning there is a reasonable number of potential tenants who could benefit from Section 8 vouchers. However, it also implies that not every rental property will be occupied by a Section 8 tenant, so landlords should consider diversifying their rental offerings.
The median home value in Shell Rock is approximately $223,907. For a landlord or investor looking to acquire a property in this area, this figure represents a typical price point. Given the FMR and average rent, it's important to ensure that the property's location and condition align with the expectations of both voucher holders and non-voucher holders.
Before deciding to participate in the Section 8 program, one crucial step is to verify the physical condition of the property against HUD's Housing Quality Standards (HQS). These standards ensure that the property meets basic safety and habitability requirements, such as proper heating, plumbing, and electrical systems. Failure to meet these standards can result in penalties or disqualification from the program.
In summary, the FMR of $860 sets a cap on government contributions, while the average rent of $931 provides context on market rates. With 12.8% of residents being renters, there is a steady but not overwhelming demand for rental units. The median home value of $223,907 gives insight into acquisition costs. Ensure your property meets HQS to avoid complications once you join the Section 8 program.
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.