Location: Wadena County, MN | Metro: Cass County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,470 |
| 5 Bedrooms | $1,705 |
| 6 Bedrooms | $1,910 |
| 7 Bedrooms | $2,063 |
| 8 Bedrooms | $2,166 |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 56481, as set by the U.S. Department of Housing and Urban Development for fiscal year 2026, is $970. This figure represents the maximum amount that a landlord can charge for a Section 8 rental unit in this area. It's important to note that this is not the rent that individual tenants will pay; rather, it's the payment standard used by the housing authority to determine the subsidy amount.
To put this into perspective, the average rent in ZIP 56481, based on Census American Community Survey data, is $675. This means that landlords participating in the Section 8 program can expect to receive a higher rent compared to the market average. The difference between the FMR and the local average rent suggests a potential opportunity to cover maintenance costs and profit margins more comfortably.
The renter share in ZIP 56481 is 10.2%, indicating that there is a steady demand for rental properties among low-income families who qualify for Section 8 assistance. This percentage reflects the portion of the population likely to be interested in your Section 8 rental units.
If you're considering acquiring a property in this ZIP code for a Section 8 rental, the median home value is approximately $255,766. This figure gives you an idea of the initial investment required to enter the market. With the higher guaranteed income from the FMR, this could represent a stable and predictable source of revenue, especially if you manage your expenses efficiently.
Before committing to a Section 8 rental in ZIP 56481, verify that the property meets the housing quality standards (HQS) set by HUD. These standards ensure that the rental unit is safe, decent, and sanitary for tenants. Meeting these requirements is crucial for approval and continued participation in 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.