Location: Watonwan County, MN | Metro: Brown County, MN
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 | $730 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,300 |
| 4 Bedrooms | $1,450 |
| 5 Bedrooms | $1,682 |
| 6 Bedrooms | $1,884 |
| 7 Bedrooms | $2,035 |
| 8 Bedrooms | $2,137 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,050 | $132,129 | 0.79% | D |
| 3BR | $1,300 | $173,824 | 0.75% | D |
| 4BR | $1,450 | $209,247 | 0.69% | D |
| 5BR | $1,682 | $246,798 | 0.68% | D |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP 56081, Saint James, MN, in the metro area for fiscal year 2026 is set at $1,000. This figure represents the payment standard for Section 8 rentals, meaning that the government will pay up to $1,000 per month for a unit under this program. However, it's important to note that this is not the rent you can charge your tenants; it's the maximum amount the housing authority will pay on behalf of eligible tenants.
To put this into perspective, the average rent in Saint James, MN, based on Census ACS data, is $844. This indicates that the FMR is higher than the typical market rate, which could be beneficial for landlords participating in the Section 8 program. The difference between the FMR and the local average rent suggests that there might be a slight premium for Section 8 units, although it's not guaranteed that all units will reach the FMR.
With a renter share of 27.8%, there is a moderate demand for rental properties in Saint James. This means that nearly 28 out of every 100 households are renters, providing a reasonable pool of potential tenants for your Section 8 property. Additionally, the median household income in the area is around $165,442, which can help you gauge the overall economic health of the community and inform your decision on whether to acquire a property here.
Before you decide to participate in the Section 8 program, verify that your property meets the required standards for habitability and safety. The housing authority will inspect your unit to ensure it complies with local codes and is in good condition, so making these improvements beforehand can save you time and effort. By ensuring your property is up to code, you increase the likelihood of securing a tenant and receiving the full payment from the housing authority.
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.