Location: Racine-Mount Pleasant, WI | Metro: Racine-Mount Pleasant, 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 | $950 |
| 1 Bedroom | $1,070 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,690 |
| 4 Bedrooms | $2,040 |
| 5 Bedrooms | $2,366 |
| 6 Bedrooms | $2,650 |
| 7 Bedrooms | $2,862 |
| 8 Bedrooms | $3,005 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,320 | $228,177 | 0.58% | F |
| 3BR | $1,690 | $325,230 | 0.52% | F |
| 4BR | $2,040 | $413,103 | 0.49% | F |
| 5BR | $2,366 | $403,820 | 0.59% | F |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 53402, which includes Caledonia, WI, is set at $1130 for fiscal year 2024. This figure represents the payment standard for Section 8 housing vouchers, meaning it's the maximum amount that the Housing Choice Voucher program will pay towards rent for a unit in this area. However, this does not necessarily mean you should set your rent at $1130; it simply limits the reimbursement you can receive from the program.
In comparison, the local average rent for a similar property is $1,513, according to ZORI (Zillow Observed Rent Index). This indicates that there is room for landlords to charge a bit above the FMR if they wish, but the voucher program will only cover up to $1130. The difference must be paid by the tenant out-of-pocket, based on their income level.
The 28.1% renter share in the area shows a significant portion of residents are renters, indicating a steady demand for rental properties. If you're looking to acquire a new rental property, the median home value in Caledonia, WI is around $294,586, which gives you an idea of the potential acquisition cost for a property in this ZIP code.
To ensure success with a Section 8 rental, you must verify that the property meets the Housing Quality Standards (HQS) required by the voucher program. These standards are designed to ensure that the homes are safe and livable, and failing to meet them could result in disqualification from the program. Once you confirm the property passes the HQS inspection, you can confidently proceed with renting to Section 8 tenants.
By understanding these key figures and ensuring compliance with the program's requirements, you can make informed decisions about whether to offer your property as a Section 8 rental in Caledonia, WI.
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.