Section 8 Fair Market Rent (FMR) for ZIP 59263 - 2027

Location: Roosevelt County, MT | Metro: Daniels County, MT

Investment Score for ZIP 59263

C
Monthly Rent (2BR)
$1,090
Median Price (2BR)
$121,272
1% Rule
0.9%
Annual Yield
10.79%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$820
1 Bedroom$890
2 Bedrooms$1,090
3 Bedrooms$1,410
4 Bedrooms$1,750
5 Bedrooms$2,030
6 Bedrooms$2,274
7 Bedrooms$2,456
8 Bedrooms$2,579

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,090 $121,272 0.9% C
3BR $1,410 $206,239 0.68% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
1,180
Median Household Income
$53,875
Housing Units
831
Renter Percentage
18.2%
Occupancy Rate
68.2%
Renter Occupied
103

The ZIP code 59263, located in Scobey, MT, presents a unique challenge for renters given the local economic conditions and rental market dynamics. The median income for households in this area stands at $53,875, according to the latest Census ACS data. Meanwhile, the market rate for rent is $573. This means that the average household income is insufficient to cover the market rent without significant financial strain.

To further illustrate the affordability gap, consider the Fair Market Rent (FMR) set at $1,050 for the metro area in fiscal year 2026. This figure is notably higher than the actual market rate of $573, suggesting that the local rental market is below the federally established benchmark. The discrepancy between the FMR and the actual market rate indicates that landlords might be underpricing their units relative to federal standards, which could affect their revenue expectations.

With only 18.2% of the population being renters and a total population of 1,180, the competition among landlords for tenants is relatively low. However, the limited number of renters means that landlords must carefully consider their pricing and tenant selection strategies to ensure steady occupancy and profitability.

The takeaway for landlords in Scobey, MT, is clear: while there is a smaller pool of potential renters, those who do rent are likely to be heavily reliant on housing vouchers to meet their living expenses. Accepting voucher payments can provide a stable source of income, as it aligns with the higher FMR standard and helps renters afford housing despite the lower median income. Landlords should weigh the benefits of accepting vouchers against the administrative requirements and consider how this strategy fits into their broader portfolio management goals.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.