Section 8 Fair Market Rent (FMR) for ZIP 56216 - 2027

Location: Kandiyohi County, MN | Metro: Kandiyohi County, MN

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$1,250
1 Bedroom	$1,260
2 Bedrooms	$1,540
3 Bedrooms	$2,130
4 Bedrooms	$2,570
5 Bedrooms	$2,981
6 Bedrooms	$3,339
7 Bedrooms	$3,606
8 Bedrooms	$3,786

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

592

Median Household Income

$77,059

Housing Units

321

Renter Percentage

9.6%

Occupancy Rate

87.9%

Renter Occupied

The ZIP code 56216, located in a suburban area of Minnesota, offers a stable market environment for landlords and small-portfolio investors. The region benefits from a mix of residential and commercial developments, providing a steady demand for rental properties.

The Fair Market Rent (FMR) for a two-bedroom apartment in the metro area for fiscal year 2026 is set at $1,460.
The average market rent for a similar property, according to the Census Bureau's American Community Survey, stands at $1,554.
While there is no reported median home value, the median income in the area is $77,059, indicating a relatively affluent population.
Renters make up 9.6% of the housing stock, showing a moderate but consistent demand for rental units.
The lack of specific data on days on market (DOM) suggests that the rental market moves quickly once a unit is listed, though exact figures are unavailable.
The slight premium of market rents over FMR indicates a healthy local economy and potential for above-average returns on investment.

The analysis reveals that ZIP 56216 presents a solid opportunity for real estate investment, particularly in rental properties. With market rents slightly exceeding FMR and a median income that supports rental affordability, investors can expect steady demand and reasonable returns. The moderate share of renters suggests a balanced market, neither saturated nor underserved, making it an attractive location for those looking to enter or expand their rental portfolio in a stable economic environment.

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.