Section 8 Fair Market Rent (FMR) for ZIP 54166 - 2027

Location: Shawano County, WI | Metro: Menominee County, WI

Investment Score for ZIP 54166

F
Monthly Rent (2BR)
$1,010
Median Price (2BR)
$218,064
1% Rule
0.46%
Annual Yield
5.56%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$740
1 Bedroom$840
2 Bedrooms$1,010
3 Bedrooms$1,340
4 Bedrooms$1,340
5 Bedrooms$1,554
6 Bedrooms$1,740
7 Bedrooms$1,879
8 Bedrooms$1,973

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $840 $160,316 0.52% F
2BR $1,010 $218,064 0.46% F
3BR $1,340 $276,138 0.49% F
4BR $1,340 $332,703 0.4% F
5BR $1,554 $407,590 0.38% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
16,940
Median Household Income
$62,791
Housing Units
9,084
Renter Percentage
29.5%
Occupancy Rate
82.7%
Renter Occupied
2,215

The Section 8 thesis in ZIP code 54166, which encompasses Shawano, WI, revolves around the disparity between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area in fiscal year 2026 is set at $970, whereas the Census ACS reports the market rent at $838. This creates a gap of $132, or approximately 14%, between what voucher holders can pay and the typical rental rate.

In Shawano, where 29.5% of residents are renters, the median home value stands at $246,567, and the median household income is $62,791, the gap indicates that voucher tenants can afford to pay above the current market rate. This makes it a compelling yield play for landlords and small-portfolio investors. By accepting Section 8 vouchers, you ensure a steady stream of income that exceeds the local average rent, thereby increasing your property's profitability.

The higher FMR compared to the market rent means that landlords who participate in the Section 8 program can receive a subsidy that brings their total rental income closer to the $970 mark. This is particularly advantageous given the lower median income in the area, as it allows for a better return on investment without having to charge exorbitant rents that could deter other potential tenants.

Moreover, the stability offered by the Section 8 program ensures consistent occupancy, reducing the risk of vacancies. In a market where the median home value is relatively high, but median income is modest, attracting reliable tenants becomes crucial for maintaining a healthy cash flow. Voucher holders provide this reliability, making Shawano an attractive location for those looking to capitalize on the yield advantage of the Section 8 program.

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.