Location: Milwaukee-Waukesha, WI | Metro: Milwaukee-Waukesha, 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 | $1,120 |
| 1 Bedroom | $1,200 |
| 2 Bedrooms | $1,430 |
| 3 Bedrooms | $1,760 |
| 4 Bedrooms | $1,880 |
| 5 Bedrooms | $2,181 |
| 6 Bedrooms | $2,443 |
| 7 Bedrooms | $2,638 |
| 8 Bedrooms | $2,770 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,200 | $184,005 | 0.65% | D |
| 2BR | $1,430 | $275,672 | 0.52% | F |
| 3BR | $1,760 | $375,056 | 0.47% | F |
| 4BR | $1,880 | $429,261 | 0.44% | F |
| 5BR | $2,181 | $465,164 | 0.47% | F |
U.S. Census Bureau data (2024)
The ZIP code 53186, located in Waukesha, WI, presents a dynamic housing market that is currently experiencing a delicate balance between supply and demand. The Fair Market Rent (FMR) for the area stands at $1230 for the fiscal year 2024, while the market rent, as indicated by ZORI (Zillow Observed Rental Index), is slightly higher at $1,442. This suggests that the rental market is somewhat robust, with rents exceeding the government's fair market assessment.
A key indicator of market health is the price-cut share, which in this case is a minimal 0.1%. This low figure implies that few landlords are compelled to lower their rents to attract tenants, pointing towards a strong tenant demand relative to the available supply. However, the absence of data on days on market (DOM) makes it difficult to draw a definitive conclusion on the speed at which units are being rented. Nonetheless, the combination of a high market rent and a low price-cut share leans towards a scenario where demand is keeping pace with, if not slightly outpacing, supply.
The median home value in ZIP 53186 is $360,161, reflecting a stable residential real estate market. This stability is further reinforced by the fact that 44.9% of residents are renters, a significant portion of the population. A high renter share can be indicative of several factors, including affordability constraints and lifestyle preferences. In the context of long-term housing pressure, it suggests that there is a consistent need for rental properties, which can provide a steady stream of income for landlords and small-portfolio investors. This also means that any fluctuations in the rental market could have a considerable impact on the overall housing dynamics, as a large number of residents are directly affected by changes in rental rates and availability.
In summary, ZIP 53186 offers a market where rental demand is strong, supported by a relatively high market rent and low price-cut share. The significant renter share highlights the importance of rental properties in the local housing landscape, suggesting that landlords and investors should focus on maintaining competitive rental offerings to capitalize on the ongoing demand. The median home value indicates a stable real estate environment, providing a solid foundation for investment decisions.
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.