Location: Cedar Rapids, IA | Metro: Cedar Rapids, IA HUD Metro FMR Area
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 | $670 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $970 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,620 |
| 5 Bedrooms | $1,879 |
| 6 Bedrooms | $2,104 |
| 7 Bedrooms | $2,272 |
| 8 Bedrooms | $2,386 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,350 | $303,723 | 0.44% | F |
U.S. Census Bureau data (2024)
The ZIP code 52202 stands out within its county due to several key characteristics. With a population of 1,269 residents, it has a relatively low rental rate at 18.9%, indicating that homeownership is more prevalent. The median income in this area is $105,362, which is notably higher than the national average, suggesting a generally affluent community. However, the median home value is significantly lower at $296,594, implying that while incomes are high, housing costs remain moderate.
The economic dynamics of Section 8 vouchers in ZIP 52202 are compelling. The Fair Market Rent (FMR) for the area is set at $940 for fiscal year 2024, whereas the actual market rent based on Census ACS data is $778. This discrepancy means that landlords accepting Section 8 vouchers can expect to receive a subsidy that exceeds the typical market rent, making participation in the program financially advantageous. The higher FMR compared to the market rent provides an additional incentive for landlords to consider renting to tenants with Section 8 vouchers.
Based on the data signature of ZIP 52202, the area reads as stable. Despite the low percentage of renters, the higher median income and the favorable voucher economics indicate a consistent demand for rental properties among those who qualify for assistance. Landlords and small-portfolio investors should recognize the potential for steady returns and the benefits of participating in the Section 8 program, especially considering the financial support it offers above the usual market rates.
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.