Location: Barron County, WI | Metro: Barron County, WI
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
U.S. Census Bureau data (2024)
To understand how Section 8 economics work in ZIP 54857, it's crucial to first recognize the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment is set at $970 for the fiscal year 2026. This figure is specific to this ZIP code and reflects the maximum amount that the housing authority will pay on behalf of a tenant. However, due to the lack of specific local market rent data, we can only compare against the SAFMR.
A landlord might wonder how much they will actually receive when a tenant uses a Section 8 voucher. The voucher system operates under a formula where the tenant pays a portion of the rent based on their income, typically around 30% of their adjusted monthly income. The remaining portion is covered by the housing authority up to the SAFMR limit. For instance, if a tenant's share of the rent is $300, the housing authority would pay the difference, ensuring the total rental payment does not exceed $970.
In addition to the base rent, there are utility allowances which vary depending on the type of unit and location. These allowances are designed to cover the cost of utilities such as electricity, gas, water, and sewer. While the exact allowance for ZIP 54857 isn't provided, landlords should be aware that these allowances add to the total reimbursement but do not affect the SAFMR cap.
The SAFMR being specific to ZIP 54857 means that landlords within this area have a defined maximum rent they can charge while still being covered by the Section 8 program. This can be advantageous for landlords who want to ensure their properties remain affordable to low-income tenants without significantly reducing their rental income.
Given the SAFMR of $970 and assuming a tenant pays $300, the housing authority would cover the remaining $670. This results in a total payment of $970, leaving a potential surplus or shortfall depending on the actual market rent. In ZIP 54857, where the local market rent is not specified, landlords must rely on the SAFMR to gauge their expected income. If the local market rent is higher than $970, landlords will face a reimbursement gap, meaning they will receive less than the market rate. Conversely, if the market rent is lower, landlords might benefit from a surplus, receiving more than the local market suggests.
In conclusion, for a two-bedroom apartment in ZIP 54857, the typical reimbursement gap or surplus cannot be precisely calculated without the local market rent data. However, landlords can expect to receive a total of $970 per month for such an apartment, with the housing authority covering the difference between the tenant's contribution and the SAFMR limit.
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.