Location: Cass County, IA | Metro: Adair County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $690 |
| 1 Bedroom | $710 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,350 |
| 5 Bedrooms | $1,566 |
| 6 Bedrooms | $1,754 |
| 7 Bedrooms | $1,894 |
| 8 Bedrooms | $1,989 |
U.S. Census Bureau data (2024)
The ZIP code 50837 presents a challenging landscape for both renters and landlords. The median income stands at $63,000, which is significantly lower than the Fair Market Rent (FMR) standard set at $920 for the metro area in fiscal year 2026. This means that even with the market rate rental cost at $625, the average household faces an affordability gap when considering the higher FMR standard.
To break it down further, the current market rate of $625 is already a stretch for many residents given their median income. The FMR standard of $920 is far beyond what most households can afford, indicating a significant disparity between what the government deems as fair market rent and what local incomes support.
With only 4.4% of the 282 residents being renters, competition among landlords is likely fierce. The scarcity of renters suggests that landlords must carefully consider their pricing strategies to attract tenants. Offering market-rate rents at $625 might draw more interest than adhering strictly to the higher FMR standard.
The takeaway for landlords is clear: focusing on cash-paying tenants who are willing to pay the market rate of $625 may be more practical and profitable than exclusively accepting vouchers. However, diversifying to include both voucher and cash-pay options could help mitigate risks associated with low demand and intense competition.
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.