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 | $1,120 |
| 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: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,540 | $250,110 | 0.62% | D |
| 3BR | $2,040 | $300,068 | 0.68% | D |
| 4BR | $2,280 | $330,187 | 0.69% | D |
| 5BR | $2,645 | $356,664 | 0.74% | D |
U.S. Census Bureau data (2024)
The rent math in ZIP 55429, Brooklyn Center, MN, does not work favorably for landlords. The Fair Market Rent (FMR) set by HUD for the area is $1590 for FY 2024, whereas the Census ACS data shows a market rent of $1,277. This discrepancy means that landlords receiving Section 8 vouchers will be overcompensated relative to the actual market conditions.
Acquisition of properties in ZIP 55429 is relatively affordable. The median home value is $298,852, which is a reasonable price point for potential investments. Additionally, the average days on market (DOM) is 31 days, indicating that homes are selling quickly, and only 0.2% of homes are listed with a price cut. These factors suggest that the real estate market is stable and that acquiring a property can be done without significant negotiation or waiting periods.
Tenant demand in ZIP 55429 is strong. With a total population of 27,024, and 40.4% of residents being renters, there is a substantial pool of potential tenants. This high percentage of renters indicates a healthy demand for rental properties, making it likely that landlords can find suitable tenants for their properties.
In conclusion, while the rent math in ZIP 55429 is not ideal due to the overcompensation relative to market rates, the acquisition of properties remains affordable and quick. The strong tenant demand ensures that landlords can effectively manage their properties and maintain occupancy levels. However, landlords must carefully consider the financial implications of accepting Section 8 vouchers given the disparity between FMR and market rent.
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.