Location: La Crosse-Onalaska, WI | Metro: La Crosse-Onalaska, WI-MN 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 | $1,050 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $1,930 |
| 4 Bedrooms | $2,440 |
| 5 Bedrooms | $2,830 |
| 6 Bedrooms | $3,170 |
| 7 Bedrooms | $3,424 |
| 8 Bedrooms | $3,595 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,510 | $271,578 | 0.56% | F |
| 3BR | $1,930 | $344,951 | 0.56% | F |
| 4BR | $2,440 | $431,744 | 0.57% | F |
| 5BR | $2,830 | $574,170 | 0.49% | F |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 landlord in ZIP 54650, Onalaska, WI, are significant and should be carefully considered before entering into such an agreement. First, tenant turnover poses a notable challenge. The market rent in the area stands at $1,393, while the Fair Market Rent (FMR) for FY 2024 is set at $1,190. This discrepancy suggests that tenants receiving Section 8 vouchers might struggle to cover the full market rent, leading to higher turnover rates. High turnover can result in increased costs related to finding new tenants, including advertising, screening, and preparation of units for new occupants.
Vacancy exposure is another critical concern. With a Days on Market (DOM) of only 12 days, it might seem that properties in Onalaska are quickly rented. However, this figure does not account for the extended period that may be required to find a qualified Section 8 tenant. Landlords must be prepared for potentially longer vacancies during the voucher verification process, which can lead to lost rental income.
Deferred maintenance is also a significant risk. The typical home value in ZIP 54650 is $357,529, but the median household income is just $85,548. This income level may limit the ability of Section 8 tenants to contribute to the upkeep of the property beyond their rent payments. As a result, landlords could face higher-than-expected maintenance costs to keep the property in good condition, which is a requirement under the Section 8 program.
Despite these risks, there are factors that mitigate them. The renter share in Onalaska is 32.0%, indicating a high density of renters in the area. A larger number of renters typically translates to a higher demand for housing assistance through Section 8 vouchers. This demand can help ensure that there is a steady pool of potential tenants who are eager to secure housing, reducing the likelihood of prolonged vacancies.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.