Location: Sheridan County, ND | Metro: McLean County, ND
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $890 |
| 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 median income in ZIP code 58559 stands at $80,000 per year. Given the absence of specific market rate data for this area, we must rely on the provided Fair Market Rent (FMR) figure of $900, which represents the voucher payment standard for the metro area in fiscal year 2026.
A household earning $80,000 annually can allocate approximately $1,733 towards monthly housing costs based on general affordability guidelines suggesting that no more than 30% of income should go to housing expenses. This means that the household has a significant buffer over the $900 FMR, potentially allowing them to seek higher-quality accommodations beyond the voucher standard.
With only 11.2% of the 411 residents being renters, competition among landlords is likely to be intense. The scarcity of rental properties coupled with the limited number of renters means that landlords must carefully consider their pricing strategies to attract tenants. Offering units that align closely with the FMR can ensure steady occupancy through Section 8 vouchers, but it may also mean leaving money on the table if market conditions allow for higher rents.
The affordability gap between the median income and the FMR indicates that there is a segment of the rental market where tenants could pay more than the voucher amount. However, this also depends on the individual financial situations and preferences of the renters. Some may prefer the security and stability of a voucher-supported rental, while others might opt for non-voucher options if they can find suitable housing within their budget.
Takeaway for Landlords: In ZIP 58559, focusing on both voucher and cash-paying tenants is advisable. Landlords who accept Section 8 vouchers can secure a reliable stream of rental income, while those who cater to higher-paying tenants can command rents above the $900 FMR. Understanding the local rental dynamics and the preferences of potential tenants will be key in determining the optimal strategy.
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.