Location: Davenport-Moline-Rock Island, IA | Metro: Davenport-Moline-Rock Island, IA-IL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,180 |
| 1 Bedroom | $1,280 |
| 2 Bedrooms | $1,580 |
| 3 Bedrooms | $2,090 |
| 4 Bedrooms | $2,540 |
| 5 Bedrooms | $2,946 |
| 6 Bedrooms | $3,300 |
| 7 Bedrooms | $3,564 |
| 8 Bedrooms | $3,742 |
U.S. Census Bureau data (2024)
To fit ZIP 61257 into a Section 8 portfolio strategy, it's essential to understand its financial metrics and housing dynamics. This ZIP code is part of the Davenport-Moline-Rock Island, IA-IL MSA metro area. In the context of Section 8, ZIP 61257 can be best described as a cash-flow anchor.
The Federal Market Rent (FMR) for ZIP 61257 in fiscal year 2024 is set at $1210, which is slightly higher than the market rent of $1193. This means that landlords participating in the Section 8 program can expect a stable, if modest, cash flow from their properties in this area. The difference of $17 between the FMR and the market rent indicates that while the FMR provides a buffer against market fluctuations, it is still closely aligned with the actual rental prices.
Moreover, the median home value in ZIP 61257 is $167,230, which suggests that property acquisition costs are relatively low compared to other metropolitan areas. This makes it easier for landlords to achieve positive cash flow from their investments, especially when considering the fixed rental income guaranteed by the Section 8 program.
ZIP 61257 does not present significant opportunities for appreciation plays due to the lack of data on price-cut shares and days on market (DOM). However, it is an excellent choice for diversification. With a renter share of 23.6%, there is a substantial demand for rental properties, ensuring steady occupancy rates. Additionally, the median income of $64,107 indicates that the population has sufficient financial stability to support rental payments, further reinforcing the reliability of cash flow.
In summary, ZIP 61257 serves primarily as a cash-flow anchor within a Section 8 portfolio strategy. Its FMR is only marginally above the market rent, providing a reliable source of income without the risk of significant overvaluation. The low median home value also supports this role, making it a solid investment for landlords looking to stabilize their financial performance with dependable rental income.
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.