Location: Fargo, ND | Metro: Fargo, ND-MN MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,510 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
The analysis of ZIP code 58108, located in North Dakota, reveals several key points for landlords and small-portfolio investors. The median income data for this area is currently unavailable, making it challenging to assess the financial health of the typical household. However, the market rate for rentals is also listed as N/A, which suggests a lack of comprehensive data on rental prices in the region.
Despite these gaps in information, the Fair Market Rent (FMR) for the zip code in fiscal year 2024 has been set at $940. This figure represents the maximum amount that a housing voucher will cover for a rental unit, assuming it meets the size and quality standards established by the U.S. Department of Housing and Urban Development (HUD).
The percentage of renters and the total population in ZIP 58108 are also not specified, indicating that detailed demographic data is limited. Nonetheless, the absence of such data implies that there might be an affordability gap between the market rate and what the HUD voucher will pay. For landlords, this means that relying solely on voucher payments could result in receiving less than the potential market rate for their properties.
Given the uncertainty around the actual market rate, landlords should consider the $940 voucher payment standard as a benchmark for setting competitive rental rates. If the market rate is indeed higher, landlords might face challenges in attracting tenants who can afford the full price without assistance. Conversely, if the market rate aligns closely with the voucher standard, landlords may find a stable tenant base through voucher programs.
Takeaway: Landlords in ZIP 58108 should carefully evaluate the local rental market conditions, despite the lack of specific data. Setting rental rates slightly above the $940 voucher standard could attract both voucher recipients and those willing to pay out-of-pocket, but it risks reducing demand if the market rate is significantly lower. To thrive, landlords must balance the benefits of voucher stability with the potential for higher cash-pay rents, keeping a close eye on the evolving local housing dynamics.
Data Sources: FMR data from HUD (2027).
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.