Location: Jefferson County, WI | Metro: Jefferson County, WI
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 | $970 |
| 1 Bedroom | $1,100 |
| 2 Bedrooms | $1,390 |
| 3 Bedrooms | $1,880 |
| 4 Bedrooms | $1,900 |
| 5 Bedrooms | $2,204 |
| 6 Bedrooms | $2,468 |
| 7 Bedrooms | $2,665 |
| 8 Bedrooms | $2,798 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,880 | $409,018 | 0.46% | F |
U.S. Census Bureau data (2024)
The ZIP code 53038 stands out due to its unique demographic and economic characteristics. With a population of 4,192 residents, it has a relatively low rental rate at 18.8%, indicating that most of the residents prefer homeownership. The median income in this area is strong at $96,127, reflecting a higher-than-average earning capacity among its residents. This is further underscored by the median home value of $408,018, which is significantly above the national average.
For landlords and small-portfolio investors, the key metric to focus on is the disparity between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR is set at $1,340 per month, whereas the Census ACS reports the market rent at $1,232. This means that landlords participating in the Section 8 program can potentially receive higher rents than the current market rate, making the ZIP code an attractive investment opportunity.
However, it's important to note that the overall data signature of ZIP 53038 suggests a stable environment rather than a transitional one. The high median income and home values indicate a settled community where significant changes in housing demand or supply are unlikely. This stability can be beneficial for long-term investments, providing consistent cash flows without the volatility associated with rapidly changing markets.
To summarize, ZIP 53038 offers a solid foundation for real estate investments, particularly for those interested in the Section 8 program. The higher FMR compared to the market rent provides an edge in securing steady rental income, while the stable economic indicators suggest a reliable and predictable 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.