Location: Todd County, MN | Metro: Todd County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,150 |
| 1 Bedroom | $1,160 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $1,940 |
| 4 Bedrooms | $2,430 |
| 5 Bedrooms | $2,819 |
| 6 Bedrooms | $3,157 |
| 7 Bedrooms | $3,410 |
| 8 Bedrooms | $3,581 |
U.S. Census Bureau data (2024)
The ZIP code 56389 stands out due to its unique demographic characteristics. With only 74 residents, it is among the least populated areas, yet 18.8% of them are renters. The median income for residents is $68,333, indicating a modest economic status. However, the lack of data on median home value suggests that this area might be predominantly rental-focused or has a very low number of owner-occupied homes.
Moving into the specifics of Section 8 housing economics, the Fair Market Rent (FMR) for ZIP 56389 is set at $980 for fiscal year 2026, which is notably lower than the current market rent of $1,375 based on Census ACS data. This discrepancy means that landlords can expect to receive a subsidy that covers part of the market rent but leaves a gap between the two figures. The subsidy amount will depend on the tenant's income, but typically, the tenant pays 30% of their adjusted income towards rent, with the remaining amount covered by the voucher program.
The data signature for ZIP 56389 reads as stable. Despite the small population size, the percentage of renters and the median income suggest a consistent demand for affordable housing options. The gap between the FMR and market rent also indicates that there is potential for landlords to participate in the voucher program while still maintaining a profit margin. However, the absence of median home value data implies that any investment decisions should be made cautiously, considering the limited data on homeownership trends in this area.
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.