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 | $740 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,080 |
| 3 Bedrooms | $1,510 |
| 4 Bedrooms | $1,800 |
| 5 Bedrooms | $2,088 |
| 6 Bedrooms | $2,339 |
| 7 Bedrooms | $2,526 |
| 8 Bedrooms | $2,652 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,510 | $378,747 | 0.4% | F |
| 4BR | $1,800 | $443,180 | 0.41% | F |
| 5BR | $2,088 | $547,451 | 0.38% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 52328 are straightforward. The SAFMR (Section 8 Area Fair Market Rent) for a two-bedroom apartment is set at $1410 for fiscal year 2024. This SAFMR is specifically tailored for this ZIP code, ensuring it reflects the local housing costs accurately.
In contrast, the local market rent for a two-bedroom unit, according to Census ACS data, is $967. It's important for landlords to understand that the actual reimbursement received from a Section 8 voucher is calculated based on the lower of the SAFMR or the local market rent, plus any applicable utility allowances.
A voucher payment typically covers the difference between the tenant's portion and the total rent. The tenant's portion is generally 30% of their income. If we assume an average income level where the tenant would pay $967 (the local market rent), then the landlord would receive the remainder up to the SAFMR cap of $1410. However, if the tenant's income is such that they only pay 30%, the landlord might receive less than the local market rent, but never more than the SAFMR.
To illustrate, let's say a tenant has an income that allows them to pay 30%, which equates to $967. In this case, the landlord would receive $967 from the tenant plus the difference between the local market rent and the SAFMR, if the SAFMR is higher. Since the SAFMR is $1410 and the local market rent is $967, the landlord would receive the full local market rent of $967 plus any utility allowances, making the total reimbursement $967 plus utilities.
If the local market rent were higher than the SAFMR, the reimbursement would be capped at $1410 plus utilities. But given the current figures, landlords in ZIP 52328 will find that the voucher reimbursement matches the local market rent.
The typical reimbursement gap or surplus in ZIP 52328 for a two-bedroom voucher is a surplus of $443 per month, which is the difference between the SAFMR ($1410) and the local market rent ($967). This means landlords can expect to receive the full local market rent plus any utility allowances, without having to adjust their rents downward to match the voucher amount.
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.