Location: Fayette County, IA | Metro: Clayton 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 | $760 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,170 |
| 4 Bedrooms | $1,390 |
| 5 Bedrooms | $1,612 |
| 6 Bedrooms | $1,805 |
| 7 Bedrooms | $1,949 |
| 8 Bedrooms | $2,046 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $930 | $147,449 | 0.63% | D |
| 3BR | $1,170 | $205,597 | 0.57% | F |
| 4BR | $1,390 | $270,527 | 0.51% | F |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP code 52076, Iowa, presents a dynamic market that is in motion. The Fair Market Rent (FMR) for the area stands at $920 for fiscal year 2026, indicating an upward trend in rental values compared to the current market rent of $678 as reported by the Census American Community Survey (ACS). This suggests that demand for rental properties is likely growing, potentially due to an influx of new residents or economic factors that make homeownership less accessible.
The median home value in the region is $282,785, which is a significant figure but does not provide enough context on its own to determine whether supply is outpacing demand or vice versa. However, the fact that there is no data available for the percentage of price cuts or days on the market (DOM) implies a stable market with little fluctuation in sales prices or inventory turnover rates. In such a scenario, the absence of price-cut data and DOM figures could indicate a balanced market where neither buyers nor sellers have a pronounced advantage.
A key insight comes from the 23.7% renter share of the population. This relatively low percentage of renters suggests that the majority of households prefer or can afford homeownership, which could imply that the area has strong long-term housing pressure. As the FMR increases, it becomes increasingly challenging for some renters to transition into homeownership, especially if they are already facing higher rental costs. This dynamic can create a persistent demand for rental properties, as those who cannot afford to buy continue to seek affordable housing options.
The upward trajectory in FMR also signals potential challenges for both landlords and small-portfolio investors. They must balance the need to increase rents to keep pace with the FMR while maintaining occupancy rates. Given the current market rent is below the FMR, there is room for growth, but it requires careful management to avoid alienating tenants with sudden rent hikes.
In summary, ZIP 52076 exhibits characteristics of a market where demand for rental properties is increasing, driven by a combination of rising FMRs and long-term housing pressures. The low renter share indicates a preference for homeownership among residents, yet the growing rental market reflects the challenges faced by some in achieving that goal. Landlords and investors should be prepared for a market that is moving towards higher rental demands, but remains stable overall.
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.