Location: Monona County, IA | Metro: Crawford County, IA
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 | $690 |
| 1 Bedroom | $710 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,170 |
| 4 Bedrooms | $1,540 |
| 5 Bedrooms | $1,786 |
| 6 Bedrooms | $2,000 |
| 7 Bedrooms | $2,160 |
| 8 Bedrooms | $2,268 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,170 | $142,235 | 0.82% | C |
U.S. Census Bureau data (2024)
The analysis of ZIP code 51060 in Monona County, Iowa, reveals key insights for landlords and small-portfolio investors considering investment in this area.
First, let's address whether the rent math works. The Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $920. However, the current market rent, according to Census ACS data, stands at $860. This indicates that landlords may struggle to meet the FMR due to the lower market rate, suggesting that the rent math does not fully align with the expected FMR.
Moving on to acquisition affordability, the median home value in this ZIP code is $112,986. Unfortunately, the data does not provide the number of days on the market (DOM) or the percentage of homes that required a price cut before selling. Despite these missing details, the relatively low median home value suggests that acquiring properties could be financially feasible for investors looking for affordable entry points into the real estate market.
Regarding tenant demand, the population of ZIP 51060 is 706, with 34.8% of residents being renters. This implies a steady, albeit small, pool of potential tenants. Given the size of the population, it's important to note that the rental market might be limited but still viable for smaller-scale investments.
Verdict: While the rent math in ZIP 51060 does not fully support the expected FMR, the acquisition cost remains affordable. With a 34.8% renter share, there is a consistent demand for rental housing. For landlords and small-portfolio investors, this area presents an opportunity to invest in a manageable market with reasonable property values, though they should prepare for slightly lower rents than the FMR suggests.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.