Location: Dodge County, WI | Metro: Madison, 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 | $1,150 |
| 1 Bedroom | $1,340 |
| 2 Bedrooms | $1,530 |
| 3 Bedrooms | $2,020 |
| 4 Bedrooms | $2,260 |
| 5 Bedrooms | $2,622 |
| 6 Bedrooms | $2,937 |
| 7 Bedrooms | $3,172 |
| 8 Bedrooms | $3,331 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,530 | $252,095 | 0.61% | D |
| 3BR | $2,020 | $330,093 | 0.61% | D |
| 4BR | $2,260 | $405,194 | 0.56% | F |
U.S. Census Bureau data (2024)
The Columbus, WI (ZIP 53925) area presents an interesting opportunity for Section 8 investors, especially when comparing the HUD Fair Market Rent (FMR) of $1250 for FY 2024 against the Census ACS reported market rent of $900. This discrepancy indicates that voucher tenants can generally cashflow at the FMR level, suggesting a positive financial position for landlords who accept vouchers.
To further analyze the market, consider the median home value in the area, which stands at $345,795. The rent-to-price ratio can be calculated by dividing the annual rent by the median home value. Using the HUD FMR of $1250 per month, the annual rent is $15,000. Dividing this by the median home value yields a rent-to-price ratio of approximately 4.3%, indicating that rental properties are relatively affordable compared to homeownership.
In terms of the days on market (DOM) and the percentage of price cuts, these metrics are not available for the Columbus, WI area. However, given the favorable rent-to-price ratio, it suggests that the buy-versus-rent dynamic leans towards renting being a better deal, which could impact the stability of the rental market positively.
The strongest angle for investors in this market is likely to be cashflow. Given the gap between the HUD FMR and the actual market rent, landlords accepting vouchers can expect a consistent positive cash flow, making this area attractive for those focused on generating income from their investments.
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.