Location: Sully County, SD | Metro: Sully County, SD
| Unit Size | Monthly FMR |
|---|---|
| Studio | $830 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,170 |
| 3 Bedrooms | $1,490 |
| 4 Bedrooms | $1,830 |
| 5 Bedrooms | $2,123 |
| 6 Bedrooms | $2,378 |
| 7 Bedrooms | $2,568 |
| 8 Bedrooms | $2,696 |
U.S. Census Bureau data (2024)
The ZIP code 57520, located in Sully County, South Dakota, serves as a strong diversifier within a Section 8 portfolio strategy. The median income here is $50,417, which aligns well with the income levels of potential Section 8 tenants. With a 33.8% renter share, there is a significant demand for affordable rental housing.
A critical aspect of any Section 8 investment is understanding the Fair Market Rent (FMR) set by HUD. Although specific figures for ZIP 57520 were not found in the data provided, we can infer that the area would have a lower FMR compared to larger metropolitan areas. This makes it less risky in terms of cash flow since the rents are more likely to be stable and predictable.
Despite the lack of data on median home values and market trends, the low population density and rural setting suggest that appreciation plays might not be as robust as in urban centers. However, the steady demand for rental properties and the manageable income levels make ZIP 57520 a reliable choice for diversifying a portfolio. It provides a solid foundation for landlords and small-portfolio investors seeking stable, long-term returns through rental income rather than speculative appreciation.
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.