Section 8 Fair Market Rent (FMR) for ZIP 51058 - 2027

Location: O'Brien County, IA | Metro: Cherokee County, IA

Investment Score for ZIP 51058

Monthly Rent (2BR)

$930

Median Price (2BR)

$116,283

1% Rule

0.8%

Annual Yield

9.6%

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	$690
1 Bedroom	$730
2 Bedrooms	$930
3 Bedrooms	$1,160
4 Bedrooms	$1,280
5 Bedrooms	$1,485
6 Bedrooms	$1,663
7 Bedrooms	$1,796
8 Bedrooms	$1,886

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	$930	$116,283	0.8%	D
3BR	$1,160	$158,038	0.73%	D
4BR	$1,280	$217,884	0.59%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

1,096

Median Household Income

$63,036

Housing Units

503

Renter Percentage

17.7%

Occupancy Rate

84.3%

Renter Occupied

Sutherland, Iowa, located in ZIP code 51058, is a small town that offers unique opportunities for real estate investors, particularly those interested in the rental market. The area's manageable size and steady economic indicators make it a promising location for both landlords and small-portfolio investors.

The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $920, providing a benchmark for rental pricing in Sutherland.
The average market rent based on Census ACS data is currently $609, indicating there is potential for rental rate increases to align with the FMR.
The median home value in Sutherland stands at $157,586, which is relatively affordable compared to larger metropolitan areas.
Renters make up 17.7% of the housing market, suggesting a moderate demand for rental properties.
The median income in Sutherland is $63,036, offering insight into the financial capacity of residents to afford higher rents.
The Days on Market (DOM) data is not available, which could indicate either a very active market where homes sell quickly or a lack of recent sales activity.

In summary, Sutherland presents a balanced market for real estate investment, with room for growth in rental rates to match the FMR. The moderate renter share and reasonable median home values make it an attractive option for investors looking to enter a stable market. With the median income supporting potential rental price adjustments, there is a solid foundation for generating steady returns. However, the absence of DOM data suggests further research is necessary to understand the current pace of property transactions.

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.