Location: Steele County, MN | Metro: Steele County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $860 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,230 |
| 3 Bedrooms | $1,680 |
| 4 Bedrooms | $1,790 |
| 5 Bedrooms | $2,076 |
| 6 Bedrooms | $2,325 |
| 7 Bedrooms | $2,511 |
| 8 Bedrooms | $2,637 |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 56046 in fiscal year 2026 is set at $1,140. This figure represents the payment standard under the Section 8 Housing Choice Voucher program, which means the government will pay up to $1,140 per month toward the rent for eligible tenants in this area. It's important to note that this is not the actual rent you'll charge; it's the maximum amount the voucher can cover.
While there is no specific local rent data available for ZIP 56046, the 8.2% renter share indicates that roughly 8.2% of the population in this area rents their homes. This percentage suggests a moderate level of demand for rental properties, including those participating in the Section 8 program. Landlords should consider this when deciding if offering a Section 8 rental makes sense for their portfolio.
The lack of data on acquisition costs means that we cannot provide a direct comparison between property purchase prices and the potential income from Section 8 rentals. However, landlords should be aware that the FMR is adjusted annually based on housing market conditions, so the $1,140 payment standard could change over time.
To ensure success with your first Section 8 rental in ZIP 56046, verify the following before proceeding: the current vacancy rate in the area. A low vacancy rate suggests strong competition among renters, potentially making it easier to fill your property. Conversely, a high vacancy rate might indicate challenges in finding tenants, even with a Section 8 voucher.
In summary, the $1,140 FMR provides a clear benchmark for the maximum monthly subsidy you can expect under the Section 8 program. With an 8.2% renter share, there is reasonable demand for rental units, but the absence of detailed local rent and acquisition cost data requires additional research. Checking the local vacancy rate will give you a better understanding of the rental market dynamics and help you make an informed decision about adding a Section 8 property to your investment portfolio.
Data Sources: FMR data from HUD (2027). 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.