FY2027 Small Area FMR · Minneapolis, MN

ZIP 55407 Fair Market Rent & Payment Standards

HUD's FY2027 Small Area Fair Market Rent for a two-bedroom home in ZIP code 55407 (Minneapolis, MN) is $1,560 a month, up 2.6% from FY2026. That is 10% below the Minneapolis-St. Paul-Bloomington, MN-WI area-wide FMR of $1,734.

2-bedroom SAFMR$1,560per month ▲ 2.6%

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

Rank in the area152ndof 246 ZIP codes

Payment standard range, 2 bedrooms

90% of SAFMR$1,404

2 BR Small Area FMR$1,560

110% of SAFMR$1,716

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

Studio$1,140▲ 3.6%

1 BR$1,280▲ 2.4%

2 BR$1,560▲ 2.6%

3 BR$2,040▲ 1.0%

4 BR$2,280▲ 0.4%

FY2027 FY2026

Where 55407 sits in the Minneapolis-St. Paul-Bloomington, MN-WI area

Of the 246 ZIP codes HUD lists for the area, 55407 has the 152nd 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 $1,560 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	$1,140	$1,026 – $1,254	$1,265	$1,100
1 bedroom	$1,280	$1,152 – $1,408	$1,427	$1,250
2 bedrooms	$1,560	$1,404 – $1,716	$1,734	$1,520
3 bedrooms	$2,040	$1,836 – $2,244	$2,264	$2,020
4 bedrooms	$2,280	$2,052 – $2,508	$2,538	$2,270

A household renting a two-bedroom home at the Small Area FMR of $1,560 needs about $62,400 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 55407 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
55409	Minneapolis	1.4 mi	$1,650
55406	Minneapolis	1.6 mi	$1,710
55404	Minneapolis	1.9 mi	$1,630
55408	Minneapolis	2.0 mi	$1,980
55417	Minneapolis	2.4 mi	$1,720
55454	Minneapolis	2.5 mi	$1,540

Questions

What is the Fair Market Rent for ZIP code 55407?

HUD's FY2027 Small Area Fair Market Rents for 55407 are $1,140 (studio), $1,280 (1 BR), $1,560 (2 BR), $2,040 (3 BR) and $2,280 (4 BR) a month.

What is the Section 8 payment standard in 55407?

Housing agencies set payment standards between 90% and 110% of the applicable FMR without HUD approval. For a two-bedroom unit in 55407 that range is $1,404 to $1,716 if the agency uses Small Area FMRs. Ask your housing agency for its actual payment standard.

Which income limits apply in 55407?

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.