Section 8 Fair Market Rent (FMR) for ZIP 52802 - 2027

Location: Davenport-Moline-Rock Island, IA | Metro: Davenport-Moline-Rock Island, IA-IL MSA

Investment Score for ZIP 52802

Monthly Rent (2BR)

$1,130

Median Price (2BR)

$102,285

1% Rule

1.1%

Annual Yield

13.26%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$840
1 Bedroom	$910
2 Bedrooms	$1,130
3 Bedrooms	$1,490
4 Bedrooms	$1,820
5 Bedrooms	$2,111
6 Bedrooms	$2,364
7 Bedrooms	$2,553
8 Bedrooms	$2,681

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$910	$66,219	1.37%	A
2BR	$1,130	$102,285	1.1%	B
3BR	$1,490	$120,168	1.24%	A
4BR	$1,820	$131,729	1.38%	A

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

9,466

Median Household Income

$54,380

Housing Units

4,346

Renter Percentage

29.4%

Occupancy Rate

87.5%

Renter Occupied

1,117

Davenport, IA's ZIP code 52802 is characterized by a moderate-sized population of 9,466 residents, where nearly 29.4% are renters. The median household income in this area stands at $54,380, indicating a middle-class community. With a median home value of $107,012, it is evident that the neighborhood offers affordable housing options for both homeowners and renters.

The rent economics in ZIP 52802 are particularly noteworthy. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $970, which is notably higher than the current market rent, measured by the Zillow Observed Rent Index (ZORI), at $806. This disparity suggests a potential opportunity for investors who can manage Section 8 properties effectively.

To determine whether this area suits a hands-off voucher operator or a hands-on value-add buyer, consider the following:

Housing Affordability: Given the median home value and income levels, there is a strong demand for affordable rental units, making it an attractive location for Section 8 investments.
Rent Premium: The $164 difference between FMR and ZORI indicates that Section 8 tenants can afford slightly higher rents, potentially offering better returns for landlords who manage properties efficiently.
Investor Strategy: A hands-off operator might find success by maintaining properties to meet the standards required by Section 8 while keeping management costs low. Conversely, a hands-on value-add buyer could enhance property values through improvements, capturing additional market rent premiums.

In conclusion, ZIP 52802 presents a balanced opportunity for both types of investors, depending on their approach and willingness to engage in property management or enhancement activities.

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.