Section 8 Fair Market Rent (FMR) for ZIP 54856 - 2027
Location: Bayfield County, WI | Metro: Ashland County, WI
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $920 |
| 1 Bedroom | $1,000 |
| 2 Bedrooms | $1,310 |
| 3 Bedrooms | $1,730 |
| 4 Bedrooms | $1,750 |
| 5 Bedrooms | $2,030 |
| 6 Bedrooms | $2,274 |
| 7 Bedrooms | $2,456 |
| 8 Bedrooms | $2,579 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$76,500
The analysis of ZIP code 54856 within the Bayfield County, WI metro area reveals several key insights for landlords and small-portfolio investors.
- Rent Math: The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,090, which is significantly lower than the market rent reported by the Census ACS at $1,306. This discrepancy suggests that landlords can expect to charge above the FMR, potentially leading to higher rental income. However, it also implies a risk if potential tenants are seeking subsidies through programs like Section 8, which might only cover up to the FMR amount.
- Acquisition Affordability: With a median home value of $243,523, acquiring property in this ZIP code remains within reach for many investors. Unfortunately, the data does not provide specifics on days on market (DOM) or the percentage of homes requiring price cuts, making it difficult to assess how quickly properties sell and at what discount rate. Investors should conduct further research into local real estate trends to make informed decisions.
- Tenant Demand: The ZIP code has a population of 1,628, with only 6.4% of residents being renters. This indicates a relatively low demand for rental housing, suggesting that finding tenants might be challenging. Additionally, the small number of renters could mean limited opportunities for rental income growth in this area.
A careful consideration of these factors leads to a verdict that while charging above the FMR is possible, the low renter share and lack of detailed market performance indicators pose challenges for investors looking to acquire and manage rental properties in ZIP code 54856. The favorable median home value provides a good entry point, but the overall tenant demand is weak, necessitating a thorough understanding of the local market dynamics before committing capital.
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.