Location: Des Moines County, IA | Metro: Des Moines County, IA
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 | $660 |
| 1 Bedroom | $730 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,290 |
| 5 Bedrooms | $1,496 |
| 6 Bedrooms | $1,676 |
| 7 Bedrooms | $1,810 |
| 8 Bedrooms | $1,901 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,240 | $230,626 | 0.54% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 52638 stands at $59,167, which is crucial when considering the local rental market. The market rate for renting, according to Census ACS data, is $780 per month. This means that a household earning the median income would spend approximately 16% of their monthly income on rent at the market rate, assuming a 12-month year. This is already a significant portion of the household budget.
When comparing the market rate to the Fair Market Rent (FMR) set by the housing authority, which is $970 for metro FY 2026, it becomes clear that the voucher payment standard is higher than the market rate. This indicates that voucher holders could potentially find a wider range of affordable housing options compared to those paying market rates.
In ZIP 52638, only 13.3% of the 508 residents are renters. This low percentage suggests a competitive market for landlords, as there are fewer potential tenants relative to the total population. However, the affordability gap between the median income and both the market rate and FMR presents an opportunity for landlords who accept vouchers. By accepting vouchers, landlords can tap into a pool of renters who might otherwise struggle to find housing within their budget.
The takeaway for landlords considering voucher versus cash-pay strategies is straightforward. While cash-paying tenants might offer more immediate flexibility, the higher payment standard of vouchers ($970) compared to the market rate ($780) provides a financial advantage. Additionally, accepting vouchers can help landlords attract and retain tenants in a competitive and economically challenging environment. Landlords should weigh the benefits of steady, government-backed payments against the potential administrative complexities of participating in the voucher 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.