Location: Valley County, MT | Metro: Valley County, MT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $930 |
| 1 Bedroom | $1,020 |
| 2 Bedrooms | $1,270 |
| 3 Bedrooms | $1,660 |
| 4 Bedrooms | $1,900 |
| 5 Bedrooms | $2,204 |
| 6 Bedrooms | $2,468 |
| 7 Bedrooms | $2,665 |
| 8 Bedrooms | $2,798 |
U.S. Census Bureau data (2024)
The median income in ZIP code 59225 stands at $43,594, which places significant constraints on the financial capabilities of households in this area. The market rate for rent, according to Census ACS data, is $338 per month. This figure represents a substantial portion of the average household's income, making it challenging for residents to find affordable housing options without assistance.
In comparison, the voucher payment standard for Fair Market Rent (FMR) is set at $1,410 per month for the fiscal year 2026. This amount is significantly higher than the market rate, indicating that the federal assistance provided through vouchers can offer a more stable and predictable rental income for landlords. It also suggests that households receiving these vouchers would have an easier time affording housing in this ZIP code compared to those relying solely on their income.
With 38.4% of the 639 population being renters, there is a notable demand for rental properties. However, the affordability gap between the median income and the market rent rate means that many renters might struggle to secure housing without some form of subsidy. This scenario creates a competitive environment for landlords who must balance attracting tenants with maintaining profitability.
The takeaway for landlords considering whether to accept voucher payments versus relying on cash-paying tenants is clear: accepting vouchers can provide a more reliable source of income given the higher payment standards compared to the local market rate. While cash-paying tenants might be numerous due to the high percentage of renters, the challenge of finding individuals capable of paying the market rate without assistance could lead to vacancies and lost revenue. Vouchers, therefore, present a viable strategy to mitigate the risk of unoccupied units and ensure steady income streams despite the economic conditions in ZIP code 59225.
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.