Location: Fayette County, IA | Metro: Fayette 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 | $1,220 |
| 4 Bedrooms | $1,300 |
| 5 Bedrooms | $1,508 |
| 6 Bedrooms | $1,689 |
| 7 Bedrooms | $1,824 |
| 8 Bedrooms | $1,915 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,220 | $235,642 | 0.52% | F |
| 4BR | $1,300 | $284,327 | 0.46% | F |
U.S. Census Bureau data (2024)
ZIP code 52147, located within the Fayette County, IA metro area, presents a unique profile compared to other ZIP codes in the county. The Fair Market Rent (FMR) for the area is set at $920 for fiscal year 2026, which is notably higher than the market rent observed at $635. This discrepancy suggests that the government subsidy through the Section 8 program significantly exceeds what the local market would naturally command, making it an attractive option for landlords who can leverage the higher subsidy rates.
The median home value in ZIP 52147 stands at $190,371, which is indicative of a middle-range property market within the county. This figure places it squarely in the mid-tier category, neither representing the most expensive nor the least costly neighborhoods. However, when combined with the 22.4% renter share, it points towards a segment of the population that heavily relies on rental housing, including those supported by Section 8 vouchers.
A key divergence emerges when comparing the high FMR against the lower market rent. Typically, a ZIP code with a high renter share but below-average home values might be considered a value pocket for Section 8 participants, as it indicates affordability and accessibility for subsidized renters. In ZIP 52147, the elevated FMR coupled with a below-metro average market rent suggests a sweet spot for landlords, as they can receive higher subsidies while maintaining lower-than-average rental rates.
To summarize, ZIP 52147 appears to be a mid-tier neighborhood within the Fayette County, IA metro, characterized by its moderate home values and significant reliance on rental housing. Its standout feature is the disparity between the high FMR and lower market rent, which creates an advantageous scenario for landlords participating in the Section 8 program.
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.