Location: Bismarck, ND | Metro: Bismarck, ND MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $870 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,060 |
| 3 Bedrooms | $1,480 |
| 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 analysis of ZIP code 58572 within the Bismarck, ND MSA reveals several key points regarding its viability for Section 8 real estate investment.
The rent math does not work favorably for landlords. The Fair Market Rent (FMR) set at $960 for the fiscal year 2024 is the benchmark for rental income under Section 8. However, the lack of specific market rent data indicates that the actual rental rates in this area could be lower or higher, creating uncertainty about whether the FMR adequately compensates for market conditions.
Acquisition appears challenging due to insufficient data on median home values, days on market (DOM), and the percentage of homes needing price cuts. Without these metrics, it's difficult to assess the affordability of purchasing properties in this ZIP code. Landlords and small-portfolio investors would need to conduct further research to determine if the cost of acquiring properties aligns with their investment goals and budget constraints.
Tenant demand is moderate. With a total population of 316, only 12.6% are renters. This suggests that while there is a demand for rental housing, it is relatively limited compared to other areas with higher renter shares. The small number of potential tenants could affect the occupancy rate and the speed at which vacancies can be filled.
Verdict: ZIP 58572 presents a mixed picture for Section 8 real estate investment. While the FMR provides a clear guideline for rental income, the lack of detailed market data complicates the assessment of property acquisition costs and tenant demand. Investors should proceed cautiously, ensuring they have comprehensive local knowledge before committing resources to this ZIP code. The limited renter population may not support a high volume of rental units, making careful selection of properties critical for success.
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.