FY2027 Small Area FMR · Minneapolis, MN

ZIP 55406 Fair Market Rent & Payment Standards

HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 55406 (Minneapolis, MN) is $1,710 a month, up 4.3% from FY2026. That is 1% below the Minneapolis-St. Paul-Bloomington, MN-WI area-wide FMR of $1,734.

2-bedroom SAFMR$1,710per month ▲ 4.3%

Area-wide 2 BR FMR$1,734Minneapolis-St. Paul-Bloomin

Rank in the area111thof 246 ZIP codes

Payment standard range, 2 bedrooms

90% of SAFMR$1,539

2 BR Small Area FMR$1,710

110% of SAFMR$1,881

Housing agencies may set voucher payment standards anywhere from 90% to 110% of the FMR without asking HUD.

Studio$1,250▲ 5.0%

1 BR$1,410▲ 4.4%

2 BR$1,710▲ 4.3%

3 BR$2,230▲ 2.8%

4 BR$2,500▲ 2.9%

FY2027 FY2026

Where 55406 sits in the Minneapolis-St. Paul-Bloomington, MN-WI area

Of the 246 ZIP codes HUD lists for the area, 55406 has the 111th highest two-bedroom Small Area FMR. Minneapolis-St. Paul-Bloomington, MN-WI is not on HUD's list of mandatory Small Area FMR areas, so voucher payment standards here are normally based on the area-wide FMR of $1,734 for two bedrooms; an agency that opts in to Small Area FMRs would use $1,710 for this ZIP code instead.

All unit sizes

Monthly gross rent including utilities
Unit	FY2027 SAFMR	Payment standard range	Area-wide FMR	FY2026 SAFMR
Studio	$1,250	$1,125 – $1,375	$1,265	$1,190
1 bedroom	$1,410	$1,269 – $1,551	$1,427	$1,350
2 bedrooms	$1,710	$1,539 – $1,881	$1,734	$1,640
3 bedrooms	$2,230	$2,007 – $2,453	$2,264	$2,170
4 bedrooms	$2,500	$2,250 – $2,750	$2,538	$2,430

A household renting a two-bedroom home at the Small Area FMR of $1,710 needs about $68,400 a year to keep housing costs at 30% of income. The area median family income is $131,500 and the 80% low-income limit for four people is $105,200. ZIP code 55406 lies mainly in Hennepin County. See the Minneapolis-St. Paul-Bloomington, MN-WI metro page for the full income limits table and the household check.

Nearby ZIP codes

ZIP	Place	Distance	2 BR SAFMR
55407	Minneapolis	1.6 mi	$1,560
55114	Saint Paul	2.2 mi	$1,950
55454	Minneapolis	2.2 mi	$1,540
55455	Minneapolis	2.3 mi	$1,560
55404	Minneapolis	2.5 mi	$1,630
55417	Minneapolis	2.5 mi	$1,720

Questions

What is the Fair Market Rent for ZIP code 55406?

HUD's FY2027 Small Area Fair Market Rents for 55406 are $1,250 (studio), $1,410 (1 BR), $1,710 (2 BR), $2,230 (3 BR) and $2,500 (4 BR) a month.

What is the Section 8 payment standard in 55406?

Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 55406 that range is $1,539 to $1,881 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.

Which income limits apply in 55406?

The FY2026 income limits of the Minneapolis-St. Paul-Bloomington, MN-WI area apply: median family income $131,500, low-income (80%) limit $105,200 for a family of four.