Location: Hand County, SD | Metro: Buffalo 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 | $750 |
| 1 Bedroom | $830 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,680 |
| 5 Bedrooms | $1,949 |
| 6 Bedrooms | $2,183 |
| 7 Bedrooms | $2,358 |
| 8 Bedrooms | $2,476 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,090 | $122,856 | 0.89% | C |
| 3BR | $1,310 | $179,415 | 0.73% | D |
| 4BR | $1,680 | $261,033 | 0.64% | D |
U.S. Census Bureau data (2024)
The ZIP code 57362, located in Miller, South Dakota, presents a unique opportunity for landlords and small-portfolio investors interested in Section 8 tenants. With a population of 1,967, this area has a significant 35.2% of residents who are renters, indicating a substantial tenant pool. However, the percentage of renters does not necessarily imply deep voucher demand, as the median household income stands at $67,083, which is relatively high compared to national averages.
The typical market rent in this ZIP code is $553 per month, which consumes approximately 8.25% of the median household income. This figure suggests that most residents can afford rent without needing assistance, but it also leaves room for lower-income individuals who might rely on housing vouchers. The Federal Market Rent (FMR) for the area is $980 (FY 2026, metro), which is significantly higher than the actual market rent, indicating that there could be a discrepancy between the voucher amount and the local rental prices.
In this context, landlords should anticipate a mix of tenants, including those who might have Section 8 vouchers. Given the median income and the market rent, landlords should prepare for tenants who may have slightly below-average incomes relative to the region. The expected tenant would likely be seeking affordable housing options and could benefit from the difference between the FMR and the actual market rent, potentially making the area attractive for voucher holders looking for cheaper rent.
To summarize, while ZIP 57362 is not dominated by homeowners, it is also not an area with overwhelming voucher demand. Landlords should focus on providing well-maintained properties at reasonable rates to attract both voucher holders and other low to moderate-income renters. The key will be to offer value that justifies the $553 market rent, ensuring a steady stream of tenants who can afford the living costs in this community.
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.