Location: Murray County, MN | Metro: Murray County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,430 |
| 5 Bedrooms | $1,659 |
| 6 Bedrooms | $1,858 |
| 7 Bedrooms | $2,007 |
| 8 Bedrooms | $2,107 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 56172, located in the Murray County, MN metro area, reveals a favorable environment for cashflow. The HUD Fair Market Rent (FMR) for the metro scope in fiscal year 2026 is set at $970, which significantly exceeds the current market rent of $717 as reported by the Census ACS. This indicates that voucher tenants will cashflow at the FMR level, providing a reliable source of income above the typical market rates.
To further evaluate investment potential, consider the median home value in ZIP 56172, which stands at $218,626. Using this figure, we can calculate a rent-to-price ratio of approximately 0.33%. This low ratio suggests that rental properties are undervalued relative to their purchase price, making them an attractive option for investors looking to capitalize on this discrepancy.
Note that the data does not provide specific details on the median days on market (DOM) or the percentage of homes that have had their prices cut. However, these metrics would be relevant if there were significant fluctuations in the local housing market that could affect the balance between renting and buying. In the absence of such volatility, the primary focus remains on the robust cashflow generated by Section 8 vouchers.
The strongest investor angle in ZIP 56172 is cashflow, given the substantial difference between the HUD FMR and the market rent, ensuring steady and predictable returns on investment.
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.