Location: Fremont County, IA | Metro: Omaha-Council Bluffs, NE-IA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $960 |
| 1 Bedroom | $990 |
| 2 Bedrooms | $1,290 |
| 3 Bedrooms | $1,790 |
| 4 Bedrooms | $1,840 |
| 5 Bedrooms | $2,134 |
| 6 Bedrooms | $2,390 |
| 7 Bedrooms | $2,581 |
| 8 Bedrooms | $2,710 |
U.S. Census Bureau data (2024)
The median income in ZIP code 51649 stands at $58,333, which places significant constraints on the ability of a typical household to afford the market rate rent of $1,156. This figure represents a substantial portion of their income, making it challenging for many residents to secure housing without financial assistance.
In contrast, the Fair Market Rent (FMR) standard for Section 8 vouchers in ZIP 51649 for fiscal year 2024 is set at $1,030. This amount is more aligned with the average household's budget, providing a feasible option for tenants who might otherwise struggle to find suitable accommodation.
The ZIP code has a population of 346, with 18.0% being renters. Given these numbers, there is a notable affordability gap between the market rate and what the median income can support, leading to increased competition among landlords for both voucher and cash-paying tenants.
For landlords considering their strategy, the choice between accepting voucher payments versus relying on cash-paying tenants is critical. Accepting vouchers at $1,030 can ensure a steady stream of income, albeit lower than the market rate. However, this approach may also reduce competition, as fewer landlords accept vouchers. On the other hand, targeting cash-paying tenants could yield higher rents but comes with the risk of a smaller pool of potential renters capable of paying $1,156 per month.
The takeaway for landlords is clear: accepting Section 8 vouchers can be a reliable way to maintain occupancy rates and manage risks associated with economic fluctuations. It ensures a stable tenant base willing to pay $1,030, aligning better with the local median income levels.
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.