Location: Dunn County, WI | Metro: Minneapolis-St. Paul-Bloomington, MN-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 | $1,120 |
| 1 Bedroom | $1,270 |
| 2 Bedrooms | $1,540 |
| 3 Bedrooms | $2,040 |
| 4 Bedrooms | $2,280 |
| 5 Bedrooms | $2,645 |
| 6 Bedrooms | $2,962 |
| 7 Bedrooms | $3,199 |
| 8 Bedrooms | $3,359 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,040 | $303,943 | 0.67% | D |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP code 54767 reveals a significant gap between the Fair Market Rent (FMR) set at $1270 for fiscal year 2024 and the actual market rent of $917, according to the latest Census ACS data. This gap amounts to $353, which represents a 38.5% difference between the two figures.
Given that the FMR exceeds the market rent, it makes ZIP 54767 a prime location for landlords and small-portfolio investors seeking to maximize yields through the Section 8 program. The higher FMR allows property owners to receive a payment that is closer to the true cost of maintaining and managing rental properties, thereby increasing profitability.
In ZIP 54767, only 14.7% of residents are renters, indicating a relatively low demand for rental housing. However, the median home value stands at $318,564, suggesting that homeownership is a significant part of the local economy. With a median income of $83,917, many households can afford the higher rents that FMR supports, making the area attractive for landlords who can benefit from the subsidy without significantly undercutting the local rental market.
The disparity between FMR and market rent means that landlords can potentially charge more than what would typically be considered the market rate, thus closing the gap and earning a higher return on their investment. For example, a landlord could charge a tenant participating in the Section 8 program a rent of $1270, while the typical market rent is $917. This scenario benefits investors by providing a cushion against the costs of maintenance, insurance, and other expenses associated with rental properties.
Moreover, the fact that FMR is set above the current market rent indicates a recognition by the government of the rising costs of housing in the area. This sets a precedent for landlords to justify higher rent charges to voucher holders, aligning with the broader economic conditions of ZIP 54767 where housing values and incomes are trending upwards.
To summarize, the gap between FMR and market rent in ZIP 54767 presents an opportunity for landlords to achieve better yields through the Section 8 program. The higher FMR supports a rent level that is more reflective of the actual cost of housing, allowing property owners to maintain profitability despite the relatively low percentage of renters in the community.
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.