Location: Muscatine County, IA | Metro: Iowa City, 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 | $810 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,030 |
| 3 Bedrooms | $1,430 |
| 4 Bedrooms | $1,730 |
| 5 Bedrooms | $2,007 |
| 6 Bedrooms | $2,248 |
| 7 Bedrooms | $2,428 |
| 8 Bedrooms | $2,549 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,430 | $239,501 | 0.6% | F |
U.S. Census Bureau data (2024)
17.2% of the population in ZIP code 52755 are renters, indicating a moderate demand for rental properties in the area. With a market rent of $980 according to the Census ACS data, landlords can set competitive rates that align with local standards. The Fair Market Rent (FMR) for the zip code for fiscal year 2024 is set at $1020, providing a benchmark for rental pricing that ensures compliance with HUD guidelines.
$251,859 is the median home value in the region, suggesting a stable housing market with potential for steady returns on investment. However, the median income of $102,434 indicates that while residents have sufficient earnings to support homeownership, there's still a segment of the population that may rely on rental assistance programs due to affordability concerns.
The data does not provide a specific number of days on market (DOM) or a percentage of price-cut share, which could indicate either a lack of recent sales data or a relatively stable market where prices are holding firm without significant fluctuations.
In the context of Section 8 investments, the alignment between the market rent and the FMR suggests that landlords can participate in the program without significantly undercutting their rental income. Given the median income levels and the moderate renter share, it's reasonable to anticipate a pool of eligible tenants who would benefit from the rental subsidy program.
Section 8 verdict: Suitable for landlords seeking stable, HUD-compliant rental income in a moderately priced market.
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.