Section 8 Fair Market Rent (FMR) for ZIP 51034 - 2027

Location: Monona County, IA | Metro: Sioux City, IA-NE-SD MSA

Investment Score for ZIP 51034

D
Monthly Rent (2BR)
$1,040
Median Price (2BR)
$135,136
1% Rule
0.77%
Annual Yield
9.24%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$740
1 Bedroom$840
2 Bedrooms$1,040
3 Bedrooms$1,260
4 Bedrooms$1,650
5 Bedrooms$1,914
6 Bedrooms$2,144
7 Bedrooms$2,316
8 Bedrooms$2,432

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,040 $135,136 0.77% D
3BR $1,260 $190,393 0.66% D
4BR $1,650 $221,992 0.74% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
1,674
Median Household Income
$66,375
Housing Units
815
Renter Percentage
22.4%
Occupancy Rate
88.2%
Renter Occupied
161

Investing in Section 8 properties in ZIP code 51034 in Mapleton, IA, presents several potential challenges. Firstly, tenant turnover could be a significant issue due to the discrepancy between the market rent of $808 and the Fair Market Rent (FMR) of $910 for fiscal year 2024. This difference suggests that tenants might struggle to afford the higher rent required by the FMR, leading to higher turnover rates and associated costs.

Vacancy exposure is another concern, although specific data on days on market (DOM) is not available. Given the typical home value of $167,696 and a median income of $66,375, it's reasonable to assume that vacancies could persist longer than desirable. The cost of deferred maintenance can also pose a financial risk, especially when the property's value does not justify extensive repairs.

However, these risks must be weighed against the high renter density in the area, with 22.4% of residents being renters. This statistic indicates a strong potential for demand among voucher holders, which can help mitigate the risk of vacancy. The presence of a substantial number of voucher users can provide a steady stream of tenants who are financially supported to meet their housing obligations.

The verdict for a first-time Section 8 landlord in ZIP 51034 is moderate risk. While there are notable challenges such as tenant turnover and vacancy exposure, the high renter share offers a compensating factor in terms of demand stability. Careful management and understanding of local market conditions will be key to success.

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.