Location: Pope County, MN | Metro: Douglas County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,390 |
| 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)
ZIP 56327, located in the metro area of Pope County, MN, can be considered a cash-flow anchor within a Section 8 portfolio strategy. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,040, which provides a stable rental income for properties in this ZIP code. Given that the market data for rental rates is currently unavailable, the FMR serves as a reliable benchmark for ensuring consistent cash flow.
The median home value in ZIP 56327 is $379,673, which indicates that the area has a relatively high property value. However, the lack of specific market rental rate data means we cannot calculate the precise spread between the FMR and market rates. Despite this, the FMR provides a guaranteed minimum rent, making it an attractive option for landlords and small-portfolio investors seeking steady income.
With a 1.5% renter share, ZIP 56327 is not heavily reliant on renters, suggesting a lower risk of vacancy compared to areas with higher renter shares. Additionally, the median income of $85,000 suggests that residents have the financial stability to meet their obligations, further supporting the cash-flow anchor designation.
In summary, ZIP 56327 is best suited as a cash-flow anchor in a Section 8 portfolio due to its guaranteed rental income through the FMR, high median home values, low renter share, and strong median income levels. These factors contribute to a stable and predictable investment 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.