Location: Shawano County, WI | Metro: Wausau, WI MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,360 |
| 4 Bedrooms | $1,370 |
| 5 Bedrooms | $1,589 |
| 6 Bedrooms | $1,780 |
| 7 Bedrooms | $1,922 |
| 8 Bedrooms | $2,018 |
U.S. Census Bureau data (2024)
The Section 8 analysis for ZIP code 54408 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR is set at $910, whereas the Census ACS data indicates an average market rent of $606. This results in a gap of $304, which translates to a 50% premium that landlords can potentially charge through the Section 8 program.
In this scenario, where the FMR exceeds the market rent, landlords have a unique opportunity to increase their rental income without significantly raising the rent above what voucher tenants can afford. The $910 FMR allows voucher holders to cover a higher portion of the rent, making it possible for landlords to charge closer to this rate without deterring potential tenants. This situation effectively turns 54408 into a yield play for landlords and small-portfolio investors.
The context of ZIP 54408 further supports this analysis. With only 7.3% of residents being renters, there is a lower competition for rental properties, allowing landlords to leverage the Section 8 program's higher payment standards. Additionally, the median home value of $242,288 and the median income of $72,768 suggest a relatively stable economic environment where voucher tenants can find suitable accommodation without overburdening their finances.
However, it is important to note that while the FMR provides a higher payment benchmark, landlords must still ensure that their properties meet the necessary quality and safety standards required by the Section 8 program. This may involve additional costs for maintenance and repairs, but the overall financial benefit remains substantial due to the 50% premium available through the voucher system.
Data Sources: FMR data from HUD (2027). 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.