Section 8 Fair Market Rent (FMR) for ZIP 53066 - 2027

Location: Jefferson County, WI | Metro: Milwaukee-Waukesha, WI MSA

Investment Score for ZIP 53066

F
Monthly Rent (2BR)
$1,410
Median Price (2BR)
$398,958
1% Rule
0.35%
Annual Yield
4.24%

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$1,090
1 Bedroom$1,180
2 Bedrooms$1,410
3 Bedrooms$1,750
4 Bedrooms$1,860
5 Bedrooms$2,158
6 Bedrooms$2,417
7 Bedrooms$2,610
8 Bedrooms$2,741

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,410 $398,958 0.35% F
3BR $1,750 $505,002 0.35% F
4BR $1,860 $651,691 0.29% F
5BR $2,158 $841,271 0.26% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
37,558
Median Household Income
$113,114
Housing Units
16,091
Renter Percentage
21.8%
Occupancy Rate
94.1%
Renter Occupied
3,300

The ZIP code 53066, located in Oconomowoc, WI within Waukesha County, stands out due to its relatively high median income and home values compared to national averages. With a population of 37,558 residents, where 21.8% are renters, the area boasts a median income of $113,114 and a median home value of $567,619. These figures indicate a community that is financially robust, likely attracting a mix of homeowners and renters who can afford higher living costs.

When it comes to Section 8 housing vouchers, the economic landscape becomes more nuanced. The Fair Market Rent (FMR) for ZIP 53066 in fiscal year 2024 is set at $1,290, which is significantly lower than the market rent, as indicated by the Zillow Observed Rent Index (ZORI), currently at $1,644. This discrepancy suggests that landlords in Oconomowoc might find themselves in a challenging position if they rely solely on Section 8 vouchers, as they would be receiving less than the market rate for their properties.

Despite these economic challenges, the data signature for ZIP 53066 reads as stable. The high median income and home values suggest a consistent demand for rental properties, even if the rents are subsidized. Landlords and small-portfolio investors should consider diversifying their tenant base to include a mix of market-rate and Section 8 tenants to balance their revenue streams effectively. Additionally, the relatively low percentage of renters indicates a strong homeowner base, which could provide a steady foundation for the local real estate market.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.