Section 8 Fair Market Rent (FMR) for ZIP 56282 - 2027

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

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$890
1 Bedroom	$910
2 Bedrooms	$1,120
3 Bedrooms	$1,560
4 Bedrooms	$1,830
5 Bedrooms	$2,123
6 Bedrooms	$2,378
7 Bedrooms	$2,568
8 Bedrooms	$2,696

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

1,471

Median Household Income

$69,896

Housing Units

652

Renter Percentage

27.6%

Occupancy Rate

93.3%

Renter Occupied

168

ZIP code 56282, located within Kandiyohi County, MN, presents a unique profile compared to other ZIP codes in the county. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,050. However, the actual market rent in ZIP 56282 is significantly lower at $745, indicating that it is a more affordable area for tenants.

The median home value in ZIP 56282 stands at $250,628, which is likely representative of the broader Kandiyohi County market. Given the disparity between the FMR and the actual market rent, landlords and small-portfolio investors can find opportunities here to offer rental properties at rates that are still attractive to tenants while maintaining profitability.

A notable feature of ZIP 56282 is its relatively high renter share of 27.6%. This suggests a significant portion of residents are renters rather than homeowners. In the context of Section 8 housing, a higher renter share combined with below-metro average home values and market rents could signal a sweet spot for investors seeking to capitalize on government-subsidized housing programs.

To further contextualize ZIP 56282 within the Kandiyohi County, MN metro, consider the following:

Affordability: With a market rent of $745, ZIP 56282 offers an affordable option for both tenants and landlords who can leverage the lower costs to provide competitive rentals.
Renter Concentration: A 27.6% renter share is above the national average, making it a potentially lucrative area for those interested in rental properties.
Premium Potential: Despite the lower market rent, the home value of $250,628 suggests that there is still room for appreciation and that properties could be priced competitively within the Section 8 framework.

In summary, ZIP 56282 appears to be a value pocket within the Kandiyohi County, MN metro, offering affordable rental options and a high concentration of renters, which aligns well with the goals of Section 8 investors. The lower market rent compared to the FMR also provides a buffer for landlords to manage their properties profitably under the program.

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.