Location: Renville County, MN | Metro: Meeker County, MN
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 | $970 |
| 1 Bedroom | $970 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,590 |
| 4 Bedrooms | $1,920 |
| 5 Bedrooms | $2,227 |
| 6 Bedrooms | $2,494 |
| 7 Bedrooms | $2,694 |
| 8 Bedrooms | $2,829 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,590 | $177,694 | 0.89% | C |
U.S. Census Bureau data (2024)
The ZIP code 55342, with a population of 1,973, is analyzed for its suitability as a Section 8 tenant pool. At 18.8%, the percentage of renters is notable but does not indicate a heavy rental market. This suggests that while there is some demand for rental properties, it is not overwhelming. The median household income stands at $64,861, which provides a basis for understanding the financial capabilities of potential tenants.
To determine if this ZIP code has a strong tenant pool with deep voucher demand, we must compare the market rent to the income levels. The typical market rent of $1,075 consumes approximately 19.6% of the median household income. This figure is calculated by dividing the market rent by the median income and multiplying by 100. The Fair Market Rent (FMR) for the metro area, set at $1,060 for fiscal year 2026, is nearly identical to the market rent, indicating that rents are closely aligned with government standards.
A landlord in ZIP 55342 should expect tenants who rely on Section 8 vouchers due to the relatively high cost of housing compared to incomes. These tenants will likely be families or individuals with limited financial resources. The close alignment between market rent and FMR means that landlords can reasonably expect to find tenants whose voucher amounts cover the majority of the rent without significant out-of-pocket expenses for the tenant. However, landlords must also be prepared to navigate the regulations and requirements associated with accepting Section 8 vouchers.
In summary, ZIP 55342 is not dominated by homeowners, but the rental market is not extremely dense either. The presence of Section 8 vouchers is a significant factor in the local rental landscape, and landlords should anticipate working with tenants who have lower-than-average incomes relative to the area's cost of living.
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.