Location: Cedar County, IA | Metro: Cedar 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 | $690 |
| 1 Bedroom | $710 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,220 |
| 5 Bedrooms | $1,415 |
| 6 Bedrooms | $1,585 |
| 7 Bedrooms | $1,712 |
| 8 Bedrooms | $1,798 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $930 | $191,096 | 0.49% | F |
| 3BR | $1,210 | $260,173 | 0.47% | F |
| 4BR | $1,220 | $288,301 | 0.42% | F |
| 5BR | $1,415 | $374,087 | 0.38% | F |
U.S. Census Bureau data (2024)
19.5% of residents in ZIP code 52772 are renters, indicating a moderate demand for rental properties in Tipton, Iowa. The $833 market rent figure, derived from Census ACS data, shows the average monthly rent in the area. This is notably lower than the $920 Fair Market Rent (FMR) set for the metro area in fiscal year 2026, suggesting that there's room for slight increases in rental pricing without alienating tenants. Landlords and small-portfolio investors can leverage this gap to maximize their returns while still being competitive in the local market.
The $236,295 median home value in Tipton provides a solid baseline for property values, making it an attractive location for those looking to invest in real estate. With a median income of $81,267, residents have the financial stability to afford higher rents or mortgage payments, which could translate into better investment opportunities for property owners.
Investors should also note that the N/A-day Days on Market (DOM) indicates that there isn't a significant backlog of unsold properties, meaning that any listings are likely to sell quickly. Additionally, the 0.1% price-cut share suggests that once a property is listed at a fair price, it rarely needs to be discounted to attract buyers. This low percentage of price cuts is a positive sign for maintaining strong property values and ensuring quick sales.
In conclusion, Tipton, Iowa, presents a balanced investment opportunity with a reasonable renter population and stable income levels. The discrepancy between the market rent and the FMR offers a strategic advantage for increasing rental rates slightly. Given these factors, the verdict for Section 8 eligibility in Tipton, Iowa, is positive, with the potential for successful partnerships between landlords and the 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.