Section 8 Fair Market Rent (FMR) for ZIP 55703 - 2027

Location: Duluth, MN | Metro: Duluth, MN-WI MSA

Investment Score for ZIP 55703

F
Monthly Rent (2BR)
$1,110
Median Price (2BR)
$191,703
1% Rule
0.58%
Annual Yield
6.95%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$770
1 Bedroom$890
2 Bedrooms$1,110
3 Bedrooms$1,530
4 Bedrooms$1,870
5 Bedrooms$2,169
6 Bedrooms$2,429
7 Bedrooms$2,623
8 Bedrooms$2,754

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,110 $191,703 0.58% F
3BR $1,530 $248,210 0.62% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
906
Median Household Income
$72,102
Housing Units
406
Renter Percentage
6.5%
Occupancy Rate
82.8%
Renter Occupied
22

The ZIP code 55703, located in Angora, MN, within Saint Louis County, stands out due to its unique demographic and economic characteristics. With a population of 906 residents, only 6.5% of whom rent their homes, this area has a predominantly owner-occupied housing market. The median household income in Angora is $72,102, which is relatively high compared to the national average. Additionally, the median home value in the area is $198,264, indicating a robust real estate market.

When it comes to Section 8 voucher economics, Angora presents an interesting scenario. The Fair Market Rent (FMR) for ZIP 55703 for fiscal year 2024 is set at $980, while the Census ACS data indicates a market rent of $950. This suggests that landlords participating in the Section 8 program could potentially receive slightly higher rents than the current market rate, providing a modest incentive to accept vouchers.

The data signature for ZIP 55703 reads as stable. Despite the low percentage of renters, the higher-than-market FMR for Section 8 vouchers could attract some tenants who might otherwise be priced out of the local rental market. However, the limited number of renters means that the impact of these vouchers on the overall rental landscape is likely to be minimal. For landlords and small-portfolio investors, the key takeaway is that while there is a slight premium for accepting Section 8 vouchers, the primary market remains heavily skewed towards homeownership. This stability is beneficial for long-term planning and investment decisions.

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.