Section 8 Fair Market Rent (FMR) for ZIP 52172 - 2027

Location: Winneshiek County, IA | Metro: Allamakee County, IA

Investment Score for ZIP 52172

F
Monthly Rent (2BR)
$1,050
Median Price (2BR)
$184,497
1% Rule
0.57%
Annual Yield
6.83%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$780
1 Bedroom$860
2 Bedrooms$1,050
3 Bedrooms$1,450
4 Bedrooms$1,670
5 Bedrooms$1,937
6 Bedrooms$2,169
7 Bedrooms$2,343
8 Bedrooms$2,460

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,050 $184,497 0.57% F
3BR $1,450 $236,259 0.61% D
4BR $1,670 $302,631 0.55% F
5BR $1,937 $397,035 0.49% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
5,877
Median Household Income
$68,875
Housing Units
3,084
Renter Percentage
21.7%
Occupancy Rate
87.4%
Renter Occupied
586

The ZIP code 52172, encompassing Waukon, IA, presents a market characterized by modest rental rates and a relatively stable housing environment. The Fair Market Rent (FMR) for the area, set at $990 for fiscal year 2026, aligns closely with the actual market rent of $793 reported by the Census Bureau's American Community Survey (ACS). This close alignment suggests that the rental market is neither overheated nor underperforming compared to federal guidelines.

A key indicator of market dynamics is the price-cut share, which stands at just 0.2%. This figure implies that very few properties are being discounted, suggesting that demand is robust enough to support asking prices without significant adjustments. The median home value of $233,509 further underscores a balanced market, where homes are neither undervalued nor overpriced relative to their utility and desirability.

The 21.7% share of renters provides insight into the long-term housing pressures. In a market where a substantial portion of residents are renters, there is an ongoing need for rental properties, indicating steady demand for both rentals and potential conversions to owner-occupied units. This dynamic can exert upward pressure on rents and home values as the population seeks affordable housing options.

While the days on market (DOM) data is currently unavailable, the low price-cut share and the proximity of market rents to the FMR suggest that properties are moving quickly once listed. This swift turnover supports the notion that demand is keeping pace with, if not slightly exceeding, supply in Waukon.

In summary, ZIP 52172 exhibits signs of a market where demand is strong enough to maintain property values and rental rates at or near federal benchmarks. The low price-cut share and the presence of a significant renter population indicate a resilient local economy and a steady flow of new residents seeking housing. For landlords and small-portfolio investors, these conditions present a favorable scenario for maintaining occupancy and achieving reasonable returns on investment.

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.