Location: Ramsey County, ND | Metro: Ramsey County, ND
| Unit Size | Monthly FMR |
|---|---|
| Studio | $760 |
| 1 Bedroom | $850 |
| 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 |
U.S. Census Bureau data (2024)
ZIP code 58362, located in Penn, North Dakota, is a prime candidate for diversification within a Section 8 portfolio strategy. With a median income of $69,021, this area stands out due to its low renter share at 0.0%, which is significantly lower than the national average. This characteristic makes it less attractive as a cash-flow anchor or an appreciation play, given the lack of substantial rental market activity and limited data on home values and market trends.
The median household income in ZIP 58362 is notably below the state average, indicating a potential need for affordable housing options. However, the absence of a robust rental market means that landlords and small-portfolio investors should focus on the long-term stability and risk mitigation benefits this area offers rather than immediate high returns.
While the Federal Market Rent (FMR) for the metro area in fiscal year 2026 is set at $870, the lack of comparable market data suggests that the rental income generated here will likely be lower than what might be achieved in more active markets. Nonetheless, this ZIP code can serve as a strategic diversifier within a larger portfolio, helping to balance out risks associated with higher volatility areas.
In conclusion, ZIP 58362 is best suited for diversification purposes within a Section 8 portfolio strategy. Its low renter share and below-average income levels mean it is unlikely to provide significant cash flow or rapid appreciation. Instead, it offers a stable, low-risk investment option that can help spread out the overall risk of a real estate portfolio.
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.