Location: Wood County, WI | Metro: Portage County, WI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,310 |
| 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)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,020 for ZIP 54454 in fiscal year 2024 will sufficiently cover the mortgage on a typical home in the area. According to recent data, the median home value in ZIP 54454 is $211,041. While specific mortgage details aren't provided, it's worth noting that the median home value has remained relatively stable, suggesting that the FMR should be adequate for most homeowners to manage their mortgage payments.
The investor may also wonder if there is sufficient renter demand at 14.0%. However, the data indicates that only 8.91% of people in ZIP 54454 rent their homes or live in apartments. This suggests that the demand for rental properties is lower than anticipated. Despite this, it's important to consider the local context and the potential for rental growth in specific segments, such as seasonal rentals or short-term stays, which could offset some of the lower demand.
Another concern could be whether housing vouchers will keep pace with market rents of $771. Unfortunately, specific voucher usage statistics for ZIP 54454 are not available. However, given the relatively low median home value and the fact that the FMR is set higher than the market rent, it's likely that vouchers will continue to support tenants at these levels. Nonetheless, investors should monitor local government policies and funding for housing assistance programs to ensure they remain consistent with market needs.
In summary, while the data raises questions about the adequacy of FMR for covering mortgages, the level of renter demand, and the sustainability of voucher programs, it generally supports the feasibility of investing in rental properties in ZIP 54454. The relatively low median home value and stable rental market indicate that this area can be a viable investment for those willing to carefully manage their portfolio and stay informed about local trends.
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.