Section 8 Fair Market Rent (FMR) for ZIP 58502 - 2027

FY 2027 Fair Market Rent Rates

The Section 8 housing market in ZIP code 58502, located within the Bismarck, ND MSA, presents a unique opportunity for landlords and small-portfolio investors. The Fair Market Rent (FMR) set by HUD for this area in fiscal year 2024 is $960. However, due to limited data, the comparison against the current market rent cannot be made accurately. Despite this gap in information, it's possible to analyze the potential cash flow for voucher tenants based on the HUD FMR.

Voucher tenants in ZIP 58502 will cashflow at the FMR of $960, assuming that the rental rates do not exceed this figure significantly. This suggests that landlords can expect steady income without the need for premium units to maintain profitability. Given the lack of data on the median home value, deriving an exact rent-to-price ratio is challenging; however, the focus should remain on the rental aspect as the primary investment vehicle in this scenario.

The days on market (DOM) and the percentage of price cuts are not available, which makes it difficult to assess the current rent-versus-buy dynamics. Nonetheless, the absence of these figures does not detract from the fact that the HUD FMR provides a reliable benchmark for rental pricing in the area.

The strongest investor angle in ZIP 58502 is likely to be cash flow. With the FMR set at $960, landlords can secure a consistent stream of income from voucher tenants, ensuring financial stability and predictability in their investment returns.

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.