Location: Jackson County, IA | Metro: Clinton 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 | $840 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,490 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,140 | $182,433 | 0.62% | D |
| 3BR | $1,490 | $252,940 | 0.59% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 52070, which encompasses Sabula, Iowa, stands at $79,271. This figure is crucial when considering the local rental market dynamics. The market rate for rent, according to Census ACS data, is $1,013 per month. This places a significant financial burden on households, especially when you consider that the Fair Market Rent (FMR) set by the Department of Housing and Urban Development (HUD) for the metro area in fiscal year 2026 is $1,040. This means that even the voucher payment standard is slightly higher than the typical market rate.
The affordability gap becomes apparent when comparing these figures. A household earning the median income would spend approximately 15.3% of their monthly income on market-rate rent, which is calculated by dividing $1,013 by $79,271 and multiplying by 12. However, with the FMR being $1,040, voucher holders would pay 30% of their adjusted income toward rent, with the rest covered by the voucher. This highlights the challenge renters face in affording housing without assistance.
Given that only 16.7% of the 990-person population are renters, the competition among landlords is relatively low. This suggests that landlords have a smaller pool of potential tenants to attract, making it important to consider the types of renters they want to cater to—those who can pay cash or those who rely on vouchers.
The takeaway for landlords is clear: while there is a limited number of renters in the area, the income levels indicate that many households may struggle to afford the market rate without financial assistance. Landlords should weigh the benefits of accepting voucher payments against the potential for higher rents from cash-paying tenants. Given the slight premium of the FMR over the market rate, landlords who accept vouchers can still maintain competitive pricing and ensure occupancy rates remain stable.
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.