Location: Norman County, MN | Metro: Grand Forks, ND-MN MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,650 |
| 5 Bedrooms | $1,914 |
| 6 Bedrooms | $2,144 |
| 7 Bedrooms | $2,316 |
| 8 Bedrooms | $2,432 |
U.S. Census Bureau data (2024)
The ZIP code 56517 is situated in a predominantly owner-occupied neighborhood, with only 8.5% of the local population renting their homes. This indicates a community where homeownership is valued and prevalent, suggesting a stable environment but also one where rental opportunities might be limited. The area's median household income stands at $92,500, reflecting a middle-class demographic that can support modest rental investments. However, the absence of data regarding the median home value leaves some uncertainty about the overall property values in the region.
Turning to the economics of renting, the Fair Market Rent (FMR) for ZIP 56517 is set at $910 for fiscal year 2024. This figure represents the maximum amount that a landlord can charge for a Section 8 voucher tenant. Notably, there is no available data on the market rent for the area, which could indicate either a lack of rental activity or an underdeveloped rental market. Given the low percentage of renters, it is reasonable to assume that the rental market is not highly competitive, potentially allowing landlords to maintain steady occupancy rates without frequent rent adjustments.
In terms of investment strategy, ZIP 56517 would likely appeal more to a hands-off voucher operator rather than a hands-on value-add buyer. The limited rental market suggests that finding motivated tenants who qualify for Section 8 vouchers should be straightforward. Additionally, the relatively stable nature of the neighborhood, combined with the fixed FMR, means that landlords can rely on consistent cash flows without needing to actively manage property improvements or renovations to attract tenants. For those interested in a low-maintenance investment with predictable returns, ZIP 56517 offers a suitable opportunity.
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.