Location: Muscatine County, IA | Metro: Muscatine County, IA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $880 |
| 1 Bedroom | $940 |
| 2 Bedrooms | $1,180 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,780 |
| 5 Bedrooms | $2,065 |
| 6 Bedrooms | $2,313 |
| 7 Bedrooms | $2,498 |
| 8 Bedrooms | $2,623 |
U.S. Census Bureau data (2024)
The Section 8 thesis in ZIP code 52759 is centered around the discrepancy between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR stands at $1,180. However, the market rent is currently unreported, indicated as N/A. This absence of market rent data suggests that landlords who accept Section 8 vouchers will be setting their rents based on the FMR.
Given that there is no reported market rent, we can infer that the FMR sets a benchmark for rental prices in the area. With an FMR of $1,180, landlords must understand the implications of accepting voucher tenants. In ZIP 52759, only 0.0% of residents are renters, indicating a predominantly owner-occupied community. The median income in the area is $70,568, which is significantly higher than the national average. Despite this, the lack of market rent data means that landlords should consider the FMR as the upper limit for their rental pricing when accepting vouchers.
The cost of housing voucher tenants below open-market rates is a critical consideration. Since the market rent is not available, landlords cannot compare the FMR against prevailing market rates. However, if we assume that the market rent would be higher than the FMR, then accepting voucher tenants would mean renting out properties below what might otherwise be achievable in a competitive market. This scenario would reduce potential rental income, making it a less attractive option for maximizing yields.
To quantify the gap, we would need the market rent figure. Without it, we can only state that the FMR of $1,180 represents the maximum allowable rent for Section 8 voucher holders. Landlords should be aware that this fixed rate could result in lower revenues compared to what they might earn in a more active rental market. Therefore, the decision to participate in the Section 8 program should be made with a clear understanding of the financial trade-offs involved.
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.