Location: Tama County, IA | Metro: Benton County, 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 | $680 |
| 1 Bedroom | $710 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,180 |
| 4 Bedrooms | $1,280 |
| 5 Bedrooms | $1,485 |
| 6 Bedrooms | $1,663 |
| 7 Bedrooms | $1,796 |
| 8 Bedrooms | $1,886 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $930 | $188,006 | 0.49% | F |
| 3BR | $1,180 | $208,758 | 0.57% | F |
| 4BR | $1,280 | $264,903 | 0.48% | F |
U.S. Census Bureau data (2024)
The real estate market in ZIP 52224, Dysart, IA, presents a unique opportunity for both landlords and small-portfolio investors. With a median home value of $248,233, the area remains affordable compared to many other regions across the country. However, the lack of percentage of listings being reduced and the median days on market (DOM) data indicate a stable market where sellers are holding firm on their asking prices. This stability suggests that pricing power will likely remain with the sellers over the next 12-24 months, implying that homes are unlikely to experience significant price drops.
On the rental side, the Fair Market Rent (FMR) for ZIP 52224 is set at $900 for fiscal year 2024, while the current market rent stands at $717 according to the Census American Community Survey (ACS). This gap indicates potential for rental income growth as the market adjusts to meet the FMR standards. Landlords and investors can expect to see gradual increases in rental rates, aligning with the FMR trend, which could enhance the cash flow from properties in this area.
For long-term hold investors, the setup in Dysart, IA, points towards a moderate appreciation thesis. The stable home values and growing rental market suggest that property values will likely increase, albeit slowly, driven by the rising demand for rental properties and the general economic conditions supporting housing costs. The lack of aggressive price reductions and the steady rental market indicate that the area is poised for steady growth rather than rapid appreciation. Investors should focus on the long-term benefits of owning properties in a stable and growing market, rather than short-term gains.
In summary, the combination of a stable median home value and the increasing rental market signals a favorable environment for investors who are looking to capitalize on steady growth and improving rental yields. The data supports a strategy focused on long-term appreciation and rental income growth, making Dysart, IA, an attractive location for those seeking consistent returns on investment.
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.