Location: Butte County, SD | Metro: Butte County, SD
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,810 |
| 5 Bedrooms | $2,100 |
| 6 Bedrooms | $2,352 |
| 7 Bedrooms | $2,540 |
| 8 Bedrooms | $2,667 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 57762, located in Butte County, South Dakota, reveals several key points for landlords and small-portfolio investors.
Firstly, the rent math does not favorably align. The Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,080. However, the actual market rent, according to Census ACS data, stands at $975. This discrepancy suggests that landlords might struggle to charge the FMR due to lower market expectations, potentially leading to reduced income compared to government standards.
Secondly, regarding the affordability of acquisitions, the data indicates that the median home value is currently unavailable. Additionally, the average days on market (DOM) and the percentage of homes that have had their prices cut are also marked as N/A. These missing values make it challenging to assess the ease or cost-effectiveness of acquiring properties in this area.
Lastly, there is a moderate tenant demand in ZIP 57762. With a total population of 512, the rental market is relatively small, but the 20.4% renter share provides a base of potential tenants. Despite the limited size, the demand could be steady given the local economic conditions and housing preferences.
In conclusion, while there is a viable tenant base in ZIP 57762, the rent math does not work in favor of landlords aiming to achieve the FMR. The lack of specific data on median home values, DOM, and price cuts makes it difficult to gauge the affordability of property acquisitions accurately. Landlords should carefully consider these factors before investing in this ZIP code, focusing on realistic market rents and conducting thorough research into local property costs and trends.
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.