Location: Sauk County, WI | Metro: Iowa County, WI HUD Metro FMR Area
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 | $830 |
| 1 Bedroom | $970 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,440 |
| 4 Bedrooms | $1,770 |
| 5 Bedrooms | $2,053 |
| 6 Bedrooms | $2,299 |
| 7 Bedrooms | $2,483 |
| 8 Bedrooms | $2,607 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,440 | $404,542 | 0.36% | F |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 53588, located in Sauk County, WI, reveals a favorable cashflow scenario when comparing the HUD Fair Market Rent (FMR) of $1080 against the market rent of $988 as reported by the Census ACS for fiscal year 2024. Voucher tenants will cashflow at FMR, providing a consistent positive difference of $92 per month between the two rates. This indicates that landlords can expect a steady income stream without the need to seek premium units.
To further analyze the investment potential, the median home value in ZIP 53588 is $371,491. Using this figure, we can derive a rent-to-price ratio by dividing the market rent ($988) by the median home value ($371,491), which yields approximately 0.27%. This low ratio suggests that rental income is relatively modest compared to the purchase price of homes, making the area less attractive for buy-to-rent investments and more suitable for those seeking stable rental income.
The data does not provide specific figures for the median Days on Market (DOM) or the percentage of homes that experienced price cuts. However, these metrics would be crucial in understanding the broader rent-versus-buy dynamics. In their absence, we can still conclude that the primary benefit for Section 8 investors in ZIP 53588 lies in the guaranteed cashflow from voucher tenants, rather than the potential for property appreciation or stability in the housing market.
The strongest investor angle in ZIP 53588 is cashflow. Landlords can rely on the consistent positive difference between the HUD FMR and market rent to ensure a steady financial return on their properties.
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.