Section 8 Fair Market Rent (FMR) for ZIP 59635 - 2027

Location: Lewis and Clark County, MT | Metro: Broadwater County, MT HUD Metro FMR Area

Investment Score for ZIP 59635

F
Monthly Rent (2BR)
$1,520
Median Price (2BR)
$341,971
1% Rule
0.44%
Annual Yield
5.33%

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$1,060
1 Bedroom$1,230
2 Bedrooms$1,520
3 Bedrooms$2,090
4 Bedrooms$2,190
5 Bedrooms$2,540
6 Bedrooms$2,845
7 Bedrooms$3,073
8 Bedrooms$3,227

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 $1,520 $341,971 0.44% F
3BR $2,090 $438,706 0.48% F
4BR $2,190 $479,627 0.46% F
5BR $2,540 $579,895 0.44% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
8,292
Median Household Income
$83,740
Housing Units
3,423
Renter Percentage
17.2%
Occupancy Rate
98.8%
Renter Occupied
582

The classification of ZIP 59635, East Helena, MT, on the yield and stability axes reveals a market that leans towards providing steady cash flow rather than high-yield, low-stability opportunities. The Federal Market Rent (FMR) for the metro area in fiscal year 2026 is set at $1,550, while the market rent stands at $1,053. This indicates that the actual rental rates are lower than what might be expected from government subsidies, suggesting a moderate yield environment.

The median home value in the area is $428,039, which is relatively high compared to other rural areas. However, this figure does not necessarily translate into high rental yields due to the market rent being significantly below the FMR. For landlords and small-portfolio investors, the primary source of income would come from the rental market, making the $1,053 market rent the key figure to focus on.

On the stability axis, the market shows a few indicators that support a steady cash flow scenario. With 17.2% of the population being renters, there is a consistent demand for rental properties, though it is not exceptionally high. The average daily days on market (DOM) is not available, but the median household income of $83,740 suggests that residents have the financial means to sustain rental payments over time.

The combination of a moderate rental rate and a stable income level points towards an investment opportunity that offers reliable cash flow rather than high returns. Landlords should expect a predictable stream of income with less risk of vacancy or non-payment compared to markets with higher renter percentages and lower incomes.

In conclusion, ZIP 59635 is best classified as a steady-cashflow zone. The $1,053 market rent provides a reasonable yield, and the $83,740 median income supports long-term tenant stability. While the potential for high yields through flips or short-term investments is limited, the consistent demand and financial health of the community make it a solid choice for those seeking dependable rental income.

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.