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 | $1,340 |
| 1 Bedroom | $1,510 |
| 2 Bedrooms | $1,830 |
| 3 Bedrooms | $2,390 |
| 4 Bedrooms | $2,680 |
| 5 Bedrooms | $3,109 |
| 6 Bedrooms | $3,482 |
| 7 Bedrooms | $3,761 |
| 8 Bedrooms | $3,949 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,510 | $145,024 | 1.04% | B |
| 2BR | $1,830 | $278,472 | 0.66% | D |
| 3BR | $2,390 | $377,036 | 0.63% | D |
| 4BR | $2,680 | $457,611 | 0.59% | F |
| 5BR | $3,109 | $624,179 | 0.5% | F |
U.S. Census Bureau data (2024)
The ZIP code 55426, located in Saint Louis Park, Minnesota, is home to 25,251 residents, with 35.7% being renters. This indicates that it is a moderately renter-heavy area rather than a predominantly homeowner-dominated region. The median household income in this ZIP is $99,347, which provides a basis for understanding the economic context of potential tenants.
The typical market rent in this area stands at $1,697 per month, representing approximately 17% of the median household income. This calculation is derived from the annual median income of $99,347, which translates to a monthly income of about $8,279. Therefore, the average rent consumes roughly 20.5% of a resident's monthly income, a figure that aligns closely with the Federal Poverty Guidelines' recommendation that housing costs should not exceed 30% of gross income.
Comparatively, the Fair Market Rent (FMR) set by the U.S. Department of Housing and Urban Development (HUD) for this ZIP is $1,760 for FY 2024. This means that the actual market rent is slightly below the HUD benchmark, suggesting that landlords might find a competitive edge in terms of affordability when attracting tenants who rely on Section 8 vouchers.
Landlords in ZIP 55426 can anticipate a tenant profile characterized by individuals or families who benefit from the rental assistance program. These tenants will likely have a household income that is lower than the median but still sufficient to meet their housing needs with the help of vouchers. The presence of these vouchers can make up for the difference between the tenant's income and the market rent, ensuring that landlords receive the full $1,697 rent amount regularly.
To summarize, ZIP 55426 offers a mix of renters and homeowners, with a significant portion of the population relying on rental assistance. Landlords should prepare for tenants who are financially supported through Section 8 vouchers, enabling them to afford typical market rents despite having incomes below the median household level.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.