Location: Benton 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 | $670 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,260 |
| 5 Bedrooms | $1,462 |
| 6 Bedrooms | $1,637 |
| 7 Bedrooms | $1,768 |
| 8 Bedrooms | $1,856 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,240 | $247,183 | 0.5% | F |
U.S. Census Bureau data (2024)
ZIP code 52345, located within the Benton County, IA HUD Metro FMR Area, presents a unique profile compared to the average ZIP codes in the same region. The Fair Market Rent (FMR) for ZIP 52345 is set at $1030 for fiscal year 2024, which is notably higher than the market rent of $850. This indicates that the government's estimate of rental costs is above what the local market typically charges, suggesting potential opportunities for landlords who can offer units at slightly above market rates but still within the subsidy limits.
The median home value in ZIP 52345 stands at $260,827, which is relatively modest compared to other areas. This lower home value could be indicative of a value pocket within the broader metro area, where properties are more affordable for both investors and residents. However, it's important to note that ZIP 52345 has a renter share of 11.5%, which is slightly above the national average but not necessarily out of line with other ZIP codes in the county. A higher renter share with lower home values might signal a concentration of rental properties that cater to lower-income tenants, including those eligible for Section 8 housing assistance.
When considering the entire Benton County, IA HUD Metro FMR Area, ZIP 52345 appears to be a mid-tier neighborhood. It doesn't quite fit the criteria of a premium sub-market due to its lower home values and market rents, yet it isn't a typical value pocket either because of the higher FMR. Landlords and small-portfolio investors should take advantage of the discrepancy between the FMR and market rent, as it allows them to potentially secure higher rental income while remaining within the bounds of Section 8 subsidies.
To summarize, ZIP 52345 offers an interesting balance of affordability and opportunity. The combination of a higher FMR with below-average home values and a slightly elevated renter share makes it a promising location for those interested in Section 8 properties. Investors should focus on properties that can command rents closer to the FMR without exceeding the local market's willingness to pay, thus maximizing their returns within the parameters of the housing assistance program.
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.