Location: Taylor County, IA | Metro: Taylor County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $750 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
U.S. Census Bureau data (2024)
The ZIP code 50862 presents a unique rental market scenario for both renters and landlords. Given the median income of $61,953, it's essential to consider how this figure aligns with the cost of housing. Unfortunately, the market rate for rentals is listed as N/A, which means we cannot directly compare it to the median income. However, we can evaluate the situation using the Fair Market Rent (FMR) standards set by the government for the metro area, which stands at $950 per month for fiscal year 2026.
To understand the affordability gap, let's look at the numbers. A household earning the median income of $61,953 would have an average monthly income of approximately $5,163. Assuming a typical rent-to-income ratio of around 30%, the household could afford a monthly rent of roughly $1,549. This is significantly higher than the FMR of $950, indicating that the median-income households in ZIP 50862 can comfortably afford the standard voucher payment.
However, the low percentage of renters at just 3.5% and a small population of 123 suggest limited competition among landlords. The low number of potential tenants means that landlords must carefully consider their target market. While there is room for higher rents based on the median income, the actual demand might be lower due to the small size of the ZIP code.
The takeaway for landlords is clear: in ZIP 50862, focusing on voucher tenants could be a viable strategy given the alignment between the FMR and the ability of median-income households to pay. However, landlords should also explore opportunities to attract cash-paying tenants who might be willing to pay above the voucher rate, considering the high median income relative to the FMR. Balancing between voucher and cash-paying tenants will likely be key to maximizing occupancy and revenue in this niche market.
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.