HUD Fair Market Rent · FY 2026 · effective Oct 1, 2025 to Sep 30, 2026
Fair Market Rent in Steele County, Minnesota (FY 2026)
HUD's FY 2026 Fair Market Rent for a two-bedroom in Steele County is $1,142 a month. That's the number the housing authority starts from when it sets Section 8 payment standards here.
2 bedroom FMR
$1,142
FY 2026, utilities included
Payment standard range
$1,028 to $1,256
90% to 110% of FMR
Income to afford 2BR
$45,680
per year, at 30% of income
Rank in Minnesota
23rd of 87
by 2BR FMR
HUD has already published FY 2027. On October 1, 2026 the two-bedroom rate in Steele moves to $1,244. That's up 9%. The full FY 2027 table is in the history section below.
HUD's number is one input. What does a two-bedroom in Steele actually rent for?
Search any address in Steele for a rent estimate built from nearby comps, with the HUD figure right next to it.
FY 2026 Fair Market Rents
| Bedrooms | FMR | Payment standard | Income needed | Hourly wage | vs FY 2025 |
|---|---|---|---|---|---|
| Studio | $787 | $708 to $866 | $31,480 | $15.13/hr | +8.1% |
| 1 bedroom | $870 | $783 to $957 | $34,800 | $16.73/hr | +11.0% |
| 2 bedroom | $1,142 | $1,028 to $1,256 | $45,680 | $21.96/hr | +11.4% |
| 3 bedroom | $1,549 | $1,394 to $1,704 | $61,960 | $29.79/hr | +7.9% |
| 4 bedroom | $1,816 | $1,634 to $1,998 | $72,640 | $34.92/hr | +5.5% |
5 to 8 bedrooms (PropMetrics estimates)
HUD stops at four bedrooms. These add 15% of the four-bedroom rent per extra bedroom. It's our estimate, not a HUD number.
| Bedrooms | Estimated FMR | Payment standard |
|---|---|---|
| 5 bedroom Estimate | $2,088 | $1,879 to $2,297 |
| 6 bedroom Estimate | $2,361 | $2,125 to $2,597 |
| 7 bedroom Estimate | $2,633 | $2,370 to $2,896 |
| 8 bedroom Estimate | $2,906 | $2,615 to $3,197 |
Source: HUD Office of Policy Development and Research, FY 2026 Fair Market Rents. Rents include utilities. huduser.gov
Fair Market Rent is HUD's estimate of what a modest, decent unit rents for in an area, utilities included. It's set once a year and runs October to September. For FY 2026 that's October 1, 2025 through September 30, 2026. In Steele, that runs from $787 for a studio up to $1,816 for four bedrooms, all five rates in the table above.
Because Steele sits outside any HUD metro area, its rate is a county-wide figure built from local rents. One number covers every address in the county, Medford included.
Among Minnesota's 87 counties, Steele ranks 23rd for two-bedroom FMR. That's about 14% above the state median of $999 and about 12% above the national median county at $1,018. About 37,396 people live here, 28th in the state.
Rates by ZIP code
Zoom in and the picture changes. HUD's Small Area FMRs put a two-bedroom at $1,020 in 56026 (Ellendale) and $1,210 in 55917 (Blooming Prairie), with the 5 ZIP codes in between. Housing authorities in HUD-designated metros use those ZIP rates instead of the county rate. Everywhere else the ZIP numbers show where rents actually sit, and the county rate stays the official standard.
What a voucher pays here
The voucher doesn't pay the FMR itself. It pays the payment standard. Housing authorities set it anywhere from 90% to 110% of FMR, which puts a two-bedroom standard in Steele somewhere between $1,028 and $1,256. The tenant pays roughly 30% of their income, the voucher covers the rest up to the standard, and the PHA won't approve a rent above what comparable unassisted units get.
$1,142 a month is affordable, by HUD's 30% rule, on an income of roughly $45,680 a year. Put another way, $22 an hour full time.
Worked example for a two-bedroom, assuming the rent equals the payment standard. Tenant pays 30% of monthly income, HUD's housing assistance payment covers the rest.
| Monthly household income | Tenant pays (30%) | HAP at 90% ($1,028) | HAP at 100% ($1,142) | HAP at 110% ($1,256) |
|---|---|---|---|---|
| $2,500 | $750 | $278 | $392 | $506 |
| $4,000 | $1,200 | $0 | $0 | $56 |
Rate history
The two-bedroom rate went up 11% from FY 2025 ($1,025) to FY 2026 ($1,142). Since FY 2020 it's up 37% in total, about 5.4% a year. The Minnesota median moved up 7% over the same year.
| Year | Studio | 1 BR | 2 BR | 3 BR | 4 BR | 2BR change |
|---|---|---|---|---|---|---|
| FY 2020 | $543 | $632 | $833 | $1,181 | $1,463 | — |
| FY 2021 | $504 | $584 | $764 | $1,093 | $1,323 | -8.3% |
| FY 2022 | $572 | $661 | $861 | $1,223 | $1,474 | +12.7% |
| FY 2023 | $666 | $726 | $939 | $1,334 | $1,599 | +9.1% |
| FY 2024 | $808 | $814 | $1,061 | $1,495 | $1,801 | +13.0% |
| FY 2025 | $728 | $784 | $1,025 | $1,436 | $1,721 | -3.4% |
| FY 2026 | $787 | $870 | $1,142 | $1,549 | $1,816 | +11.4% |
| FY 2027 | $866 | $951 | $1,244 | $1,703 | $1,814 | +8.9% |
Nearby counties
Questions people ask
$1,142 a month for FY 2026, which runs October 1, 2025 through September 30, 2026. The other rates are $787 for a studio, $870 for one bedroom, $1,549 for three and $1,816 for four.
Tools for this county
Fair Market Rent lookup
Look up any ZIP code's Small Area FMR by bedroom count.
Section 8 rent calculator
Work out the payment standard and tenant share for a specific rent.
What is Fair Market Rent?
How HUD calculates FMR and what it means for landlords.
Rent affordability calculator
See what income a household needs for a given rent.
What does a rental in Steele actually go for?
HUD's number is one input. Search any address in Steele for a rent estimate built from nearby comps. 3 free searches, no card.
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