Location: Sibley County, MN | 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: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,040 | $319,412 | 0.64% | D |
| 4BR | $2,280 | $402,260 | 0.57% | F |
U.S. Census Bureau data (2024)
ZIP code 55339, located within Sibley County, MN, presents a unique profile when compared to other ZIP codes in the county. The Fair Market Rent (FMR) for ZIP 55339 is set at $1270 for fiscal year 2024, which is higher than the average market rent of $955. This suggests that the area is slightly more expensive for renters, aligning it closer to the premium end of the rental spectrum within the county.
The median home value in ZIP 55339 is $344,776, which is a significant figure but requires context from other ZIP codes in Sibley County to determine if it represents a value pocket or a premium sub-market. However, given the higher FMR relative to the market rent, there might be an indication that housing costs in this ZIP are above average, potentially making it a premium sub-market for both renters and homeowners.
The renter share of 16.2% is notably higher than the typical county-wide figure, suggesting a greater concentration of rental properties or individuals seeking rentals. This higher proportion of renters combined with below-average home values could signal a potential sweet spot for Section 8 investments, where the demand for affordable rental housing meets lower property acquisition costs.
To summarize, ZIP 55339 appears to be a mid-tier neighborhood within Sibley County, MN, leaning towards being a premium sub-market due to its higher FMR. The elevated renter share and lower home values compared to the FMR suggest a possible value pocket for Section 8-focused real estate strategies.
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.