Location: Billings, MT | Metro: Billings, MT HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $990 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,350 |
| 3 Bedrooms | $1,850 |
| 4 Bedrooms | $2,070 |
| 5 Bedrooms | $2,401 |
| 6 Bedrooms | $2,689 |
| 7 Bedrooms | $2,904 |
| 8 Bedrooms | $3,049 |
U.S. Census Bureau data (2024)
The ZIP code 59008, located in Billings, MT, serves as a strategic component within a Section 8 portfolio. It acts as a cash-flow anchor. The Fair Market Rent (FMR) for the area in fiscal year 2024 is set at $1280. This figure is critical because it represents the maximum rental amount that can be charged under the Section 8 program. Given that the market rent data is currently unavailable, the FMR provides a reliable benchmark for rental income.
The median home value in ZIP 59008 is $422,506, indicating a stable property market. However, since the market rent is not available, we cannot calculate the exact spread between the FMR and market rents. Nevertheless, the FMR of $1280 ensures steady, predictable cash flow for landlords participating in the Section 8 program. This stability is particularly valuable in a portfolio strategy where consistent income is prioritized over short-term fluctuations in property values or rental rates.
The lack of percentage price-cut share and days on market (DOM) data suggests that this ZIP code is not primarily an appreciation play. Instead, the focus should be on the long-term financial security provided by the guaranteed rental income through the Section 8 program. With a renter share of 8.9%, and a median income of $100,469, there is a strong economic foundation supporting the housing demand in the area. Landlords can leverage this demographic to ensure a steady stream of tenants who qualify for the Section 8 assistance.
In summary, ZIP 59008 is best suited as a cash-flow anchor within a Section 8 portfolio. The FMR of $1280 guarantees a predictable income stream, which is essential for maintaining financial stability. While appreciation plays and diversifiers have their place, this ZIP code's strength lies in its ability to provide consistent returns, making it a reliable choice for landlords and small-portfolio investors seeking long-term financial security.
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.