Location: Greene County, IA | Metro: Carroll 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 | $750 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,560 |
| 5 Bedrooms | $1,810 |
| 6 Bedrooms | $2,027 |
| 7 Bedrooms | $2,189 |
| 8 Bedrooms | $2,298 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,000 | $90,103 | 1.11% | B |
| 3BR | $1,310 | $185,868 | 0.7% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 51462, located in Scranton, Iowa, within Greene County, are straightforward. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for fiscal year 2026 is set at $960. This figure represents the maximum amount that the housing authority will pay landlords on behalf of tenants participating in the Section 8 Housing Choice Voucher program.
In contrast, the local market rent for a two-bedroom unit, according to the Census American Community Survey, is $903. This indicates that the SAFMR exceeds the average market rent by $57 per month. However, landlords should understand that the actual reimbursement they receive is influenced by several factors including the tenant's contribution and utility allowances.
A tenant's portion of the rent is typically 30% of their adjusted income. If a tenant has an adjusted income of $1,000, their monthly contribution would be $300. The remaining balance is covered by the Section 8 voucher, up to the SAFMR limit. For instance, if the total rent for a two-bedroom apartment is $960, the housing authority would cover the difference between the tenant's contribution and the total rent, which in this case would be $660.
Utility allowances can vary but generally aim to cover the cost of utilities such as electricity, gas, water, and sewage. In ZIP 51462, the allowance might be around $150-$200 per month, depending on the specifics of the voucher and the local utility costs. This allowance is also part of the reimbursement package provided to landlords.
To illustrate, let's assume the total rent is $960, the tenant contributes $300, and the utility allowance is $175. The housing authority would then reimburse the landlord $935 ($660 for rent plus $175 for utilities), leaving a surplus of $32 above the local market rent of $903. This surplus can help offset any administrative costs associated with participating in the Section 8 program.
In summary, while the SAFMR for ZIP 51462 is higher than the local market rent, landlords should expect a reimbursement that covers the tenant's rent and utility costs, up to the maximum allowable payment. Given these figures, a landlord renting out a two-bedroom apartment under a Section 8 voucher would see a slight surplus of $32 per month over the typical market rent.
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.