Section 8 Fair Market Rent (FMR) for ZIP 58038 - 2027

Location: Traill County, ND | Metro: Fargo, ND-MN MSA

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$730
1 Bedroom	$820
2 Bedrooms	$1,010
3 Bedrooms	$1,410
4 Bedrooms	$1,700
5 Bedrooms	$1,972
6 Bedrooms	$2,209
7 Bedrooms	$2,386
8 Bedrooms	$2,505

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

179

Median Household Income

$112,750

Housing Units

Renter Percentage

17.1%

Occupancy Rate

89.1%

Renter Occupied

To determine if you should buy in ZIP code 58038 for Section 8 purposes, follow these steps:

Step 1: Does the Fair Market Rent (FMR) of $940 cover your debt service on a property?

If the FMR does not clear your debt service, then the answer is No. You cannot afford to maintain the property under Section 8 guidelines.

Step 2: Compare the market rent of $620 (as per Census ACS data) with the FMR.

If the market rent is below the FMR, you can charge the higher FMR rate under Section 8, which is beneficial. If it's equal or above the FMR, you will be limited to the FMR rate, reducing potential profits.

Step 3: Assess the rental demand in the area. With 17.1% of residents being renters, consider if this percentage, combined with the average days on market (DOM), indicates sufficient demand.

If the rental demand is strong, meaning there are enough renters and properties don't stay on the market for too long, then the answer is Yes. However, if the DOM is high, indicating low demand, then the answer is No.

It depends on how these factors align with your investment criteria. The FMR exceeds the market rent, allowing for higher income under Section 8. But the success also hinges on the local rental market dynamics and whether you can find properties that meet your financial goals within the constraints of the FMR.

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.