Location: Minneapolis-St. Paul-Bloomington, 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 | $1,240 |
| 1 Bedroom | $1,400 |
| 2 Bedrooms | $1,700 |
| 3 Bedrooms | $2,220 |
| 4 Bedrooms | $2,490 |
| 5 Bedrooms | $2,888 |
| 6 Bedrooms | $3,235 |
| 7 Bedrooms | $3,494 |
| 8 Bedrooms | $3,669 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,700 | $297,877 | 0.57% | F |
| 3BR | $2,220 | $350,296 | 0.63% | D |
| 4BR | $2,490 | $397,384 | 0.63% | D |
| 5BR | $2,888 | $470,831 | 0.61% | D |
U.S. Census Bureau data (2024)
The ZIP code 55362, located in Monticello, Minnesota, stands out within Wright County due to its unique demographic and economic profile. With a population of 20,663, it has a relatively low rental rate of 26.2%, indicating that most residents own their homes. The median income in this area is $91,832, which is higher than the national average, reflecting a prosperous community. Notably, the median home value in ZIP 55362 is $353,436, suggesting significant investment in residential property.
Moving to the specifics of Section 8 housing, the Fair Market Rent (FMR) for ZIP 55362 for fiscal year 2024 is set at $1,540. This figure is slightly below the market rent, known as the ZORI (Zillow Observed Rent Index), which is currently $1,569. This indicates that landlords participating in the Section 8 program can expect a slight shortfall compared to market rates when renting properties to tenants with vouchers. However, the proximity of these figures suggests that the financial impact on landlords is minimal.
Evaluating the overall data signature of ZIP 55362, it reads as stable. The high median income and substantial median home values suggest a community with strong financial foundations. Additionally, the low rental rate implies that homeownership is prevalent, which typically correlates with long-term stability. While the slight difference between the FMR and ZORI may introduce some minor fluctuations in rental economics, the general trend in the area points towards sustained stability rather than transitional changes.
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.