Section 8 Fair Market Rent (FMR) for ZIP 56156 - 2027

Location: Rock County, MN | Metro: Rock County, MN HUD Metro FMR Area

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$770
1 Bedroom$780
2 Bedrooms$1,010
3 Bedrooms$1,410
4 Bedrooms$1,510
5 Bedrooms$1,752
6 Bedrooms$1,962
7 Bedrooms$2,119
8 Bedrooms$2,225

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
6,371
Median Household Income
$71,066
Housing Units
2,822
Renter Percentage
25.6%
Occupancy Rate
96.2%
Renter Occupied
695

The ZIP code 56156 presents a dynamic real estate market influenced by the interplay between rental and homeownership trends. The Fair Market Rent (FMR) stands at $980 for the fiscal year 2026, indicating a relatively stable rental environment. However, the current market rent, as per the Census ACS, is $643, suggesting that actual rents are below the FMR, which could be due to various factors including an oversupply of rental units or a strong preference among residents for homeownership.

The low price-cut share of 0.1% implies that sellers in this area are not frequently lowering their asking prices, which can be interpreted as a sign of a seller's market where demand is steady or slightly outpacing supply. This is further supported by the median home value of $255,302, which, while not directly indicative of market dynamics, suggests a range of affordability that could attract both buyers and renters.

A 25.6% renter share points towards a segment of the population that may face long-term housing pressures. This percentage indicates that a quarter of the residents are renters, which could mean they are either unable to purchase homes due to financial constraints or prefer renting over buying. In a broader context, a higher renter share can lead to increased competition for rental properties, potentially driving up rents if the supply remains limited. Conversely, it might also signal a willingness among residents to pay more for rentals, which could benefit landlords looking to maximize their returns.

The snapshot of the market in ZIP 56156 reveals a balance where the demand for homeownership appears to be stronger than for renting, given the low price-cut share and the gap between FMR and market rent. However, the presence of a significant renter share suggests ongoing pressure on the rental market, which landlords should consider when setting rents and managing their properties. For small-portfolio investors, understanding these dynamics is crucial for making informed decisions about property investments and management strategies in this area.

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.