Location: Sargent County, ND | Metro: Dickey County, ND
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $930 |
| 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)
The economics of Section 8 housing in ZIP code 58474 are straightforward. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for fiscal year 2026 is set at $870. This figure represents the maximum amount that the Housing Choice Voucher program will pay towards the rent of a two-bedroom unit in this area.
The local market rent for a two-bedroom apartment, according to the Census ACS, averages around $879. This indicates that the SAFMR is very close to the actual market rent, which can be advantageous for landlords and small-portfolio investors.
A voucher payment consists of two parts: the tenant's portion and the utility allowance. Typically, the tenant is responsible for paying 30% of their adjusted income towards rent. If we assume an average adjusted income of $1,000 per month, the tenant would contribute $300 towards the rent. The remaining portion, up to the SAFMR limit, is covered by the government. Therefore, if the total rent is $879, the government would cover the difference between the tenant's contribution and the SAFMR limit, which is $570 ($870 - $300).
In addition to the rent subsidy, the voucher program also includes a utility allowance. For ZIP 58474, the utility allowance is not explicitly stated but is typically around $200-$300 per month depending on the number of bedrooms and the specific needs of the household. This utility allowance is paid directly to the tenant to cover electricity, gas, water, and other household utilities.
When calculating the total reimbursement, you need to add the tenant's portion and the utility allowance to the government's rent subsidy. In our example, if the utility allowance is $250, the total reimbursement would be $1,120 ($300 + $570 + $250).
However, the landlord must understand that the total reimbursement does not exceed the SAFMR limit of $870 for the rent portion. Thus, even though the total reimbursement might be higher due to the utility allowance, the rent itself cannot go beyond the SAFMR cap.
In ZIP 58474, with a SAFMR of $870 and a local market rent of $879, there is a slight surplus for landlords who charge less than the market rent. If a landlord charges exactly $879, they will receive $870 from the government plus the tenant's contribution of $300, totaling $1,170. However, the surplus is only applicable to the utility allowance portion, not the rent.
To summarize, the typical reimbursement gap or surplus for a two-bedroom apartment in ZIP 58474 is minimal. Landlords should expect to receive $870 for the rent portion, plus whatever the tenant contributes based on their income, and the utility allowance. This system ensures that landlords are paid a fair amount that aligns closely with the local market conditions.
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.