Location: Hanson County, SD | Metro: Davison County, SD
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $840 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,510 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $840 | $108,618 | 0.77% | D |
| 2BR | $1,090 | $182,928 | 0.6% | F |
| 3BR | $1,510 | $249,895 | 0.6% | D |
| 4BR | $1,820 | $298,488 | 0.61% | D |
| 5BR | $2,111 | $430,550 | 0.49% | F |
U.S. Census Bureau data (2024)
The ZIP code 57301 in Mitchell, South Dakota, stands out due to its relatively low population of 19,104 residents, with 38.4% of them renting their homes. The median household income here is $65,620, while the median home value is significantly higher at $247,418. This indicates a community where homeownership is valued but also presents a rental market that caters to nearly 40% of the population.
Mitchell's rental market is influenced by the Federal Market Rent (FMR), which for fiscal year 2026 is set at $930. In contrast, the actual market rent, measured by the Zillow Rent Index (ZORI), is $898. This suggests that the rental market in Mitchell is slightly below the federally determined fair market rate, making it potentially attractive for both landlords and tenants who are seeking affordable housing options.
The voucher economics in Mitchell are favorable for landlords participating in the Section 8 program. Given the FMR is $930, landlords can expect to receive this amount per unit, which is above the current market rate of $898. This means that landlords can potentially earn a premium on their rental units compared to the local market, while still offering tenants a cost-effective option.
The data signature for ZIP 57301 reads as stable. With a median income that is reasonable and a median home value that reflects a strong desire for homeownership, the area maintains a balanced economic environment. The slight discrepancy between the FMR and the ZORI also points towards a stable rental market, where the federal assistance through vouchers can help maintain affordability without causing significant market distortions.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.