Location: Norman County, MN | Metro: Norman County, MN
| Unit Size | Monthly FMR |
|---|---|
| Studio | $850 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,160 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,630 |
| 5 Bedrooms | $1,891 |
| 6 Bedrooms | $2,118 |
| 7 Bedrooms | $2,287 |
| 8 Bedrooms | $2,401 |
U.S. Census Bureau data (2024)
The median income in ZIP code 56541 stands at $89,375, providing insight into the financial capabilities of the average household. However, the lack of specific market rate data presents a challenge in directly comparing the income levels with rental costs. Instead, we can focus on the voucher payment standard set at $1,220 for Fair Market Rent (FMR) in the metro area for fiscal year 2026.
Given the voucher payment standard, it is clear that the majority of households in ZIP 56541 can comfortably afford the FMR without straining their finances. The median income suggests a robust financial standing among residents, which could translate into higher demand for rental properties that accept vouchers, as these properties would be priced within reach of most tenants.
With only 12.0% of the population being renters and a total population of 31, the competition for rental properties is relatively low. This means landlords have a smaller pool of potential tenants to draw from, making the appeal of affordable housing through voucher acceptance even more significant. The affordability gap indicates that landlords who accept vouchers may attract a larger share of the local rental market, given the limited number of renters.
The takeaway for landlords considering voucher versus cash-pay strategies is straightforward. While the overall rental market is small, accepting vouchers can expand your tenant base by tapping into federal assistance programs. This strategy ensures a steady stream of income, albeit at a fixed rate, while also potentially reducing vacancy rates in a market where competition is not fierce. For those preferring cash-paying tenants, they must ensure that their rents align closely with the FMR to remain competitive and attractive to the financially capable local households.
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.