Location: Milwaukee-Waukesha, WI | Metro: Milwaukee-Waukesha, WI MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,150 |
| 1 Bedroom | $1,230 |
| 2 Bedrooms | $1,470 |
| 3 Bedrooms | $1,810 |
| 4 Bedrooms | $1,940 |
| 5 Bedrooms | $2,250 |
| 6 Bedrooms | $2,520 |
| 7 Bedrooms | $2,722 |
| 8 Bedrooms | $2,858 |
U.S. Census Bureau data (2024)
The classification of ZIP code 53046 hinges on a careful analysis of its yield and stability metrics. The Fair Market Rent (FMR) for ZIP 53046 in fiscal year 2024 is set at $1,230. This FMR figure is significantly higher than the market rent of $773, indicating a potential high-yield market when leveraging Section 8 housing vouchers. However, the median home value of $506,668 suggests that properties in this area are relatively expensive, which could affect the initial investment costs.
On the stability axis, the data reveals a mixed picture. Only 15.0% of the residents are renters, which is a low percentage and might imply limited demand for rental properties. Unfortunately, the average days on the market (DOM) is not available, which would have been a key indicator of how quickly properties can be rented out. Lastly, the median household income is $83,889, which is a moderate figure but could support higher rents if the local economy is robust.
Given these factors, ZIP 53046 leans towards being a steady-cashflow zone. While the high FMR compared to market rent indicates strong potential for yield, the low percentage of renters and moderate household income suggest a stable rather than volatile market. The lack of high turnover in rental properties (indicated by the low percentage of renters) supports the notion that this is not a flip-style market where quick property sales are common. Instead, it offers reliable cash flow through Section 8 vouchers, which can be particularly advantageous for small-portfolio investors seeking consistent returns without the risk associated with high-renter turnover areas.
To summarize, the high FMR relative to market rent and the availability of Section 8 vouchers make this a favorable investment for those interested in long-term, steady cash flow rather than short-term, high-risk yields. The median home value and median income provide additional context, reinforcing the idea that while returns may be solid, they are not likely to be extraordinarily high due to the nature of the local rental market.
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.