Location: Rosebud County, MT | Metro: Big Horn County, MT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,160 |
| 1 Bedroom | $1,220 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $2,100 |
| 4 Bedrooms | $2,540 |
| 5 Bedrooms | $2,946 |
| 6 Bedrooms | $3,300 |
| 7 Bedrooms | $3,564 |
| 8 Bedrooms | $3,742 |
U.S. Census Bureau data (2024)
The ZIP code 59043 is situated in a rural neighborhood characterized by a modest population size of 2,727 residents. The area has a significant rental market, with 40.6% of its inhabitants being renters. This indicates a community where a considerable portion of the population relies on rental housing. The median income for this region stands at $29,028, which is notably lower than the national average, suggesting a predominantly low-income demographic. The lack of a reported median home value further underscores the dominance of rental properties over owner-occupied homes in the area.
When it comes to the economic dynamics of renting in ZIP 59043, there is a stark contrast between the Federal Market Rent (FMR) and the actual market rents. The FMR for the fiscal year 2026 is set at $1,630, which is significantly higher than the current market rent of $563 as per the Census ACS. This gap highlights an opportunity for landlords who can leverage the higher FMR rates through Section 8 Housing Choice Voucher program participation, effectively increasing their rental income to a level that is more in line with federal guidelines.
The disparity between the FMR and the market rent makes ZIP 59043 particularly appealing for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the potential to receive higher rents via the Section 8 program without the need for extensive property management can be highly attractive. On the other hand, value-add buyers might see potential in improving properties to command closer to the FMR rates, thereby maximizing their investment returns while providing better quality housing to the local tenants.
In conclusion, ZIP 59043 offers a niche market for real estate investors interested in Section 8 properties. Its rural setting, combined with a substantial rental market and low median income, positions it as a prime location for those looking to capitalize on the difference between federal and local rental rates. Whether you're seeking a passive income stream or aiming to actively manage and improve your portfolio, this ZIP code presents viable opportunities.
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.