Location: Washington County, IA | Metro: Washington County, IA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $840 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,450 |
| 5 Bedrooms | $1,682 |
| 6 Bedrooms | $1,884 |
| 7 Bedrooms | $2,035 |
| 8 Bedrooms | $2,137 |
U.S. Census Bureau data (2024)
The ZIP code 52353, located in Washington, IA, within the Washington County, IA HUD Metro FMR Area, offers a strategic opportunity for landlords and small-portfolio investors looking to balance their investment portfolios. This area can be best categorized as a cash-flow anchor. The reasoning behind this classification lies in the close alignment of the Fair Market Rent (FMR) for the fiscal year 2024, which stands at $950, with the current market rent of $969. This minimal spread of only $19 indicates that the rental income generated from properties in this ZIP code will closely match the FMR, providing a stable and predictable source of cash flow.
Further supporting the anchor role, the median home value in ZIP 52353 is $190,973. This relatively low figure suggests that property acquisition costs are manageable, allowing for a reasonable return on investment through rental income. Given the median income of $63,047, the area's residents are likely to qualify for housing assistance programs, making the ZIP code attractive for Section 8 properties. The slight premium in market rent over the FMR also allows for a modest profit margin above the subsidized rates, enhancing the cash flow stability.
While the 0.1% price-cut share and N/A-day days on market (DOM) suggest limited potential for significant appreciation, these factors do not detract from the ZIP code's suitability as a cash-flow anchor. The primary focus here should be on the consistent rental income rather than speculative capital gains. Additionally, with a renter share of 32.3%, there is a substantial demand for rental properties, ensuring steady occupancy rates and reducing the risk of vacancy.
In conclusion, ZIP 52353 serves as an effective cash-flow anchor within a Section 8 portfolio strategy. Its stable rental income, manageable property values, and high renter share make it a reliable component of any diversified real estate investment plan.
Data Sources: FMR data from HUD (2027). 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.