Shelby County, IA: Fair Market Rent 2027 and Income Limits

Official HUD figures for landlords and renters, effective October 1, 2026 (rents) and May 1, 2026 (income limits).

$9272-bedroom FMR, FY2027

$8381-bedroom FMR, FY2027

$79,45080% income limit, family of 4 (FY2026)

$99,300Median family income (FY2026)

The FY2027 Fair Market Rent for a two-bedroom unit in Shelby County is $927 a month, up 0.9% from $919 in FY2026. Shelby County belongs to the Shelby County, IA FMR area (non-metro county), so the same figures apply across that area. FMRs are gross rents: rent plus all tenant-paid utilities except phone, cable and internet.

Fair market rent in Shelby County by bedroom count

Unit size	FY2027 FMR	FY2026 FMR	Change	Payment standard range (90–110%)
Studio	$688	$682	+0.9%	$620 – $756
1 bedroom	$838	$838	±0.0%	$755 – $921
2 bedrooms	$927	$919	+0.9%	$835 – $1,019
3 bedrooms	$1,214	$1,278	−5.0%	$1,093 – $1,335
4 bedrooms	$1,218	$1,309	−7.0%	$1,097 – $1,339

Source: HUD Fair Market Rents FY2027 (effective October 1, 2026) and FY2026 (revised file), details.

What can a landlord charge a Section 8 tenant here?

The FMR is not a cap on what you can ask on the open market. For a Housing Choice Voucher tenant, the local housing authority sets a payment standard, normally between 90% and 110% of the FMR (or of the ZIP-level Small Area FMR where those apply). For a two-bedroom unit in Shelby County that is typically $835 to $1,019 including utilities. You can charge more than the payment standard if the rent passes the housing authority's rent-reasonableness test and, at move-in, the tenant's share stays within 40% of their adjusted monthly income. Ask the housing authority for its current payment standard schedule.

Can local renters afford the fair market rent?

$35,492median income of renter households

$783Median gross rent, all units

26%Rent-to-income ratio (median rent ÷ median renter income)

51%of renter households pay 30% or more of income on rent

At the 30% rule, a renter household earning the local median of $35,492 can afford about $887 a month including utilities. The FY2027 two-bedroom Fair Market Rent of $927 is $40 (4.5%) more than that. To rent a two-bedroom at the FMR, a household needs $37,080 a year under the 30% rule, or $33,372 under the common landlord rule that income must be three times the rent.

Shelby County, ACS 2020–2024	Estimate ± MOE
Median gross rent (rent + utilities)	$783 ±$63
Median income of renter households	$35,492 ±$5,050
Renters paying 30% or more of income (cost-burdened)	51.1% ±10.4
Renters paying 50% or more (severely cost-burdened)	20.0% ±11.3
Renter households (where the share can be computed)	870

Change since 2015–2019

	ACS 2015–2019	ACS 2020–2024	Change
Median gross rent	$643	$783	+21.8%
Median renter household income	$33,470	$35,492	+6.0%
Renters paying 30%+ of income	38.1%	51.1%	+13.0 pts

Rent-to-income calculator: does an applicant qualify? → · Most affordable counties to rent in this state →

Source: U.S. Census Bureau, American Community Survey 5-Year Estimates 2020–2024 and 2015–2019 (tables B25064, B25119, B25070). ± = margin of error at 90% confidence. Dollar figures are not adjusted for inflation.

HUD income limits for Shelby County (FY2026)

Income limits decide who qualifies for Section 8 vouchers, public housing and most HUD-assisted units. The area median family income is $99,300 (FY2025: $97,700, +1.6%). Small figures under each limit show the change from FY2025.

Household size	1 person	2 people	3 people	4 people	5 people	6 people	7 people	8 people
Extremely low income (30%)	$20,900 +1.7%	$23,850 +1.7%	$27,320 +2.5%	$33,000 +2.6%	$38,680 +2.7%	$44,360 +2.8%	$50,040 +2.9%	$55,720 +2.9%
Very low income (50%)	$34,800 +1.8%	$39,750 +1.7%	$44,700 +1.6%	$49,650 +1.6%	$53,650 +1.6%	$57,600 +1.6%	$61,600 +1.7%	$65,550 +1.6%
Low income (80%)	$55,650 +1.6%	$63,600 +1.7%	$71,550 +1.7%	$79,450 +1.7%	$85,850 +1.7%	$92,200 +1.7%	$98,550 +1.7%	$104,900 +1.6%

The 30% limit is HUD's “extremely low income” limit: the higher of 30% of median income or the federal poverty guideline, but never above the 50% limit. That is why it can rise faster than 30% of median for larger households. Tax-credit (LIHTC) properties use separate Multifamily Tax Subsidy Project limits.

Source: HUD Section 8 Income Limits FY2026 (effective May 1, 2026) and FY2025, details.