Location: Kenosha, WI | Metro: Kenosha, WI MSA
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 | $980 |
| 1 Bedroom | $990 |
| 2 Bedrooms | $1,270 |
| 3 Bedrooms | $1,710 |
| 4 Bedrooms | $1,960 |
| 5 Bedrooms | $2,274 |
| 6 Bedrooms | $2,547 |
| 7 Bedrooms | $2,751 |
| 8 Bedrooms | $2,889 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,270 | $266,004 | 0.48% | F |
| 3BR | $1,710 | $368,830 | 0.46% | F |
| 4BR | $1,960 | $427,471 | 0.46% | F |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 53170, which includes Salem, WI, within Kenosha County, are straightforward. The SAFMR (Section 8 Area Fair Market Rent) for a two-bedroom apartment is set at $1200 per month for FY 2024. This SAFMR is specifically tailored for this ZIP code, ensuring it reflects the local housing market conditions accurately.
In comparison, the local market rent for a similar two-bedroom unit is recorded at $1119 according to the latest Census ACS data. This indicates that the SAFMR is slightly above the average market rent, which can be beneficial for landlords as it offers a buffer against potential losses.
When a tenant uses a Section 8 voucher, the payment structure is divided into two parts: the tenant's portion and the voucher reimbursement. The tenant is typically responsible for paying approximately 30% of their income towards rent. For instance, if a tenant earns $1800 monthly, they would contribute around $540 towards rent. The remaining amount is covered by the voucher, which in this case would be $660 to reach the $1200 SAFMR limit.
Utility allowances also play a role in the total reimbursement. These allowances vary but generally cover the cost of utilities up to a certain amount. In ZIP 53170, the utility allowance is usually included in the voucher payment, further reducing the out-of-pocket expenses for tenants.
Landlords should note that the actual reimbursement received will be the lesser of the SAFMR or the market rent. In this scenario, since the SAFMR is higher than the market rent, the reimbursement will be based on the market rent of $1119. Therefore, a landlord in ZIP 53170 would receive $1119 per month for a two-bedroom unit, assuming the tenant’s contribution plus the voucher reimbursement equals this amount.
This setup leaves a slight surplus for landlords when comparing the SAFMR to the local market rent. Specifically, the typical reimbursement gap or surplus for a two-bedroom unit in ZIP 53170 is a $81 surplus per month. This means landlords can expect to receive a bit more than the local market rent, providing a small cushion against inflation or maintenance costs.
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.