Location: Toole County, MT | Metro: Toole County, MT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,100 |
| 1 Bedroom | $1,160 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $2,010 |
| 4 Bedrooms | $2,180 |
| 5 Bedrooms | $2,529 |
| 6 Bedrooms | $2,832 |
| 7 Bedrooms | $3,059 |
| 8 Bedrooms | $3,212 |
U.S. Census Bureau data (2024)
Toole County, Montana, specifically ZIP code 59482, offers a unique opportunity for inclusion in a Section 8 portfolio strategy due to its characteristics as a cash-flow anchor. The Federal Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,490, which significantly exceeds the current market rent of $1,094. This creates a spread of $396 per month, ensuring that landlords can secure higher rental income through Section 8 participation compared to market rates.
The lack of available data on median home values and price-cut shares suggests limited activity in the sale market, indicating that appreciation plays might not be as viable in this region. With no percentage given for days on market (DOM), it's also challenging to predict short-term capital gains. However, the strong cash flow potential cannot be overlooked.
A key factor supporting the cash-flow anchor designation is the substantial difference between the FMR and the market rent. This gap allows landlords to receive a consistent, government-backed income stream that surpasses what they could earn from market-rate tenants. Additionally, the guaranteed payment structure of Section 8 provides stability, which is crucial for managing a portfolio effectively.
While the median income of $92,500 indicates a relatively affluent population, the 21.2% renter share shows that there is still a significant portion of the community relying on rental housing. This makes ZIP 59482 a suitable diversification option for investors who wish to balance their portfolios with properties that cater to both homeowners and renters.
In summary, ZIP 59482 should primarily be considered a cash-flow anchor within a Section 8 portfolio strategy. The robust financial backing from the government ensures steady returns, and the gap between FMR and market rents offers an additional advantage. Although it lacks potential for rapid appreciation, the combination of high rental income and a stable tenant base makes it a valuable asset for any landlord or investor seeking reliable earnings.
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.