Location: Lyon County, MN | Metro: Lyon County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
U.S. Census Bureau data (2024)
The ZIP code 56169 presents a dynamic rental market that reflects a balance between supply and demand, though certain indicators suggest a slight lean towards demand. The Fair Market Rent (FMR) for the area stands at $970 for fiscal year 2026, according to HUD guidelines, while the Census ACS data shows a market rent of $589. This significant gap between FMR and actual market rents could imply that there is an opportunity for rental pricing adjustments upwards, indicating potential demand without overstepping affordability.
The renter share in ZIP 56169 is 7.8%, which is notably low compared to national averages. This suggests a strong preference for homeownership in the area, but it also indicates long-term housing pressure. As the population grows and shifts, the low renter share could signal future increases in rental demand if more residents opt to rent rather than buy. Additionally, the lack of data on price-cut share and days on market (DOM) means we cannot directly assess the urgency or ease of finding tenants, but the lower-than-FMR market rent points towards a competitive landscape where landlords might need to be flexible with pricing to attract tenants.
The absence of a median home value figure further complicates the direct comparison between rental and homeownership markets, but it doesn't negate the insight that the rental sector is currently underpriced relative to its fair market valuation. This situation could lead to increased interest from renters as the area develops and becomes more attractive, thereby putting upward pressure on rents.
In summary, ZIP 56169's rental market appears to be in a state of flux, with indications that demand could grow stronger over time. Landlords and small-portfolio investors should remain vigilant about market trends and be prepared to adjust their strategies accordingly to capitalize on this evolving market.
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.