Location: Perkins County, SD | Metro: Adams County, ND
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 | $720 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,240 |
| 4 Bedrooms | $1,620 |
| 5 Bedrooms | $1,879 |
| 6 Bedrooms | $2,104 |
| 7 Bedrooms | $2,272 |
| 8 Bedrooms | $2,386 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,240 | $141,059 | 0.88% | C |
U.S. Census Bureau data (2024)
The ZIP code 57638 stands out due to its unique mix of demographics and housing economics. With a population of 1,852 residents, 21.1% of whom are renters, the area has a median income of $58,533 and a median home value of $124,745. This combination indicates a community that is relatively stable but also has a significant portion of renters who may rely on government assistance.
When it comes to Section 8 vouchers, the data shows a notable discrepancy between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR is set at $930, while the Census American Community Survey (ACS) reports the market rent at $663. This means that landlords participating in the Section 8 program can potentially receive higher rents compared to the current market rates, making the ZIP attractive for those willing to accept vouchers.
The economic stability of the area, as reflected by the median income and home values, suggests that the ZIP code is likely to remain stable in the near future. However, the reliance on rental assistance and the gap between FMR and market rent could indicate a transitional phase where the local economy is adjusting to federal rental support levels. Landlords should consider these factors when deciding whether to participate in the Section 8 program, as the area presents both opportunities and challenges.
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.