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 | $1,060 |
| 1 Bedroom | $1,070 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,830 |
| 4 Bedrooms | $2,090 |
| 5 Bedrooms | $2,424 |
| 6 Bedrooms | $2,715 |
| 7 Bedrooms | $2,932 |
| 8 Bedrooms | $3,079 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,350 | $245,756 | 0.55% | F |
| 3BR | $1,830 | $373,316 | 0.49% | F |
| 4BR | $2,090 | $486,036 | 0.43% | F |
U.S. Census Bureau data (2024)
17.9% of residents in ZIP code 53179 (Salem, WI) are renters, indicating a moderate demand for rental properties. The $1,156 market rent figure, derived from Census ACS data, suggests that rental properties are priced below the Fair Market Rent (FMR) of $1550 set for Section 8 in fiscal year 2024. This difference means landlords can receive a higher subsidy payment for participating in the program, effectively increasing their net income from these units.
The $347,550 median home value in Salem, WI, indicates a stable housing market with solid property values. Given the $94,460 median income, it's clear that many households would qualify for Section 8 assistance, which could help stabilize occupancy rates and provide a steady stream of rental income. However, the lack of data on days on market (DOM) and the percentage of price-cut share makes it difficult to assess the competitiveness of the rental market and how quickly properties might be filled.
Investors considering Section 8 in Salem, WI, should focus on properties that can meet or slightly exceed the $1550 FMR while still being attractive to tenants. This strategy allows for leveraging the higher subsidy payments without overpricing the unit, which could deter potential tenants. Additionally, understanding local landlord associations and tenant support groups can help navigate the nuances of the program and ensure compliance with all regulations.
The one-line Section 8 verdict for Salem, WI, is that it presents a viable opportunity for landlords and small-portfolio investors due to the favorable subsidy gap and the presence of a significant number of income-eligible households.
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.