Location: Kingsbury County, SD | Metro: Kingsbury County, SD
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $790 |
| 2 Bedrooms | $1,030 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,620 |
| 5 Bedrooms | $1,879 |
| 6 Bedrooms | $2,104 |
| 7 Bedrooms | $2,272 |
| 8 Bedrooms | $2,386 |
U.S. Census Bureau data (2024)
The rent math in ZIP 57231 does not work favorably for landlords. The Fair Market Rent (FMR) set at $970 for the fiscal year 2026 is notably higher than the current market rent, which stands at $725 according to the Census ACS. This discrepancy suggests that landlords may struggle to justify higher rents based on current market conditions.
Acquisition in this area is relatively affordable given the median home value of $258,755. However, without specific data on the number of days on market (DOM) and the percentage of homes needing price cuts, it's challenging to assess the full picture of property acquisition affordability. Landlords should consider these factors when evaluating potential investments.
Tenant demand in ZIP 57231 is modest. With a total population of 1,724 and only 13.3% of residents being renters, the pool of potential tenants is limited. This low renter share indicates that landlords might face challenges in finding enough tenants to fill their properties.
Verdict: ZIP 57231 presents a mixed scenario for landlords and small-portfolio investors. While the median home value offers an affordable entry point into the market, the mismatch between the FMR and the actual market rent, along with the limited tenant demand, suggests that returns may be lower than anticipated. Investors should proceed with caution and thoroughly research local market dynamics before committing to acquisitions in this area.
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.