Location: Pennington County, MN | Metro: Grand Forks, ND-MN MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,560 |
| 4 Bedrooms | $1,680 |
| 5 Bedrooms | $1,949 |
| 6 Bedrooms | $2,183 |
| 7 Bedrooms | $2,358 |
| 8 Bedrooms | $2,476 |
U.S. Census Bureau data (2024)
The ZIP code 56701 stands out with a population of 12,705 residents, where 28.9% are renters. The median income here is $78,599, and the median home value reaches $187,024, indicating a relatively affluent area. This economic backdrop influences the dynamics of housing assistance programs, such as Section 8.
In terms of voucher economics, the Fair Market Rent (FMR) for ZIP 56701 in fiscal year 2024 is set at $910. This is notably higher than the average market rent, which according to the Census Bureau's American Community Survey, is $856. This discrepancy suggests that landlords in this ZIP code could benefit from the higher reimbursement rates offered through the Section 8 program, potentially offsetting some of the administrative burdens associated with the vouchers.
However, it's important to note that the higher FMR does not necessarily mean an increase in demand for rental properties. Landlords should carefully consider the balance between voucher rents and market rents to ensure their investment remains competitive and profitable.
Based on the data signature, ZIP 56701 appears to be in a stable phase. The median income and home values suggest a steady economic environment, which typically supports consistent housing demand and less volatility in tenant turnover. For small-portfolio investors and landlords, this stability can translate into predictable cash flows and reduced risk compared to transitional areas.
To summarize, the key factors making ZIP 56701 distinct include its higher-than-average FMR, which exceeds the market rent by $54 per month. Given the stable economic indicators, this ZIP code presents a favorable opportunity for those willing to participate in the Section 8 program, offering a reliable source of income without the uncertainties often associated with transitional markets.
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.