Location: Lac qui Parle County, MN | Metro: Lac qui Parle County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,490 |
| 5 Bedrooms | $1,728 |
| 6 Bedrooms | $1,935 |
| 7 Bedrooms | $2,090 |
| 8 Bedrooms | $2,195 |
U.S. Census Bureau data (2024)
18.1% of residents in ZIP 56232 are renters, indicating a moderate demand for rental properties. However, the $589 market rent, as reported by the Census ACS, suggests that rental prices are below the $970 Fair Market Rent (FMR) set for the metro area in fiscal year 2026. This discrepancy presents an opportunity for landlords to increase rents closer to the FMR without significantly impacting occupancy rates.
$196,218 is the median home value in ZIP 56232, which is a key figure for understanding property values in the area. Coupled with the $75,069 median income, it becomes evident that while property values are relatively high, they are still within reach for many residents based on their earnings. The absence of data regarding days on market (DOM) indicates stability in the housing market, with no significant trends towards longer vacancy periods.
With a 0.2% price-cut share, it's clear that sellers in ZIP 56232 are rarely forced to reduce their asking prices, suggesting strong seller's market conditions. For landlords, this implies that tenants may be more willing to accept higher rents due to limited options and competition for affordable housing.
In summary, ZIP 56232 offers a balanced environment for landlords and small-portfolio investors. The gap between the current market rent ($589) and the FMR ($970) provides a clear path for increasing rental income, while the stable market conditions and high median home value ($196,218) ensure property investments retain their value. Given these factors, the verdict for Section 8 participation in ZIP 56232 is positive, as it can help stabilize cash flows and maintain occupancy levels at a rate above the market average.
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.