Location: Potter County, SD | Metro: Edmunds County, SD
| Unit Size | Monthly FMR |
|---|---|
| Studio | $870 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,240 |
| 3 Bedrooms | $1,610 |
| 4 Bedrooms | $1,870 |
| 5 Bedrooms | $2,169 |
| 6 Bedrooms | $2,429 |
| 7 Bedrooms | $2,623 |
| 8 Bedrooms | $2,754 |
U.S. Census Bureau data (2024)
The Section 8 housing market in ZIP code 57475, located in Potter County, SD, presents a unique opportunity for landlords and small-portfolio investors. The HUD Fair Market Rent (FMR) for the area is set at $1,010 per month for the fiscal year 2026. However, without specific data on the current market rent, it's challenging to make a direct comparison. Based on the available HUD FMR, voucher tenants would typically cashflow at the FMR rate, meaning landlords can expect to break even or slightly profit when renting properties at this rate.
To further analyze the market, we must consider the median home value in the area, which is also currently unavailable. This data point is crucial for deriving the rent-to-price ratio, which helps investors understand the relative value of renting versus buying. Without this information, it's difficult to provide insights into the broader rent-versus-buy dynamics in ZIP 57475.
The days on market (DOM) and the percentage of homes that require price cuts before selling are also missing from the dataset. These metrics are important for gauging the local real estate market's health and can influence investment decisions. For instance, a high DOM might indicate slower sales, while a significant price-cut share could suggest a challenging environment for property appreciation.
In conclusion, based on the HUD FMR of $1,010, landlords in ZIP 57475 can expect to maintain stable cash flows with voucher tenants, especially if they focus on properties that are priced appropriately for the market. The strongest investor angle in this scenario is likely cashflow, given the absence of data suggesting strong appreciation or DOM trends that would indicate stability. Investors should continue to monitor local market conditions for a more comprehensive understanding of potential returns.
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.