Location: Meagher County, MT | Metro: Meagher County, MT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,140 |
| 1 Bedroom | $1,280 |
| 2 Bedrooms | $1,570 |
| 3 Bedrooms | $2,170 |
| 4 Bedrooms | $2,610 |
| 5 Bedrooms | $3,028 |
| 6 Bedrooms | $3,391 |
| 7 Bedrooms | $3,662 |
| 8 Bedrooms | $3,845 |
U.S. Census Bureau data (2024)
The analysis of ZIP 59642, located in Meagher County, Montana, reveals several key points that are crucial for landlords and small-portfolio investors.
The first question addresses whether the rent math works. The Fair Market Rent (FMR) for the metro area for fiscal year 2026 is set at $1,570. However, without specific market rent data, it's challenging to make a direct comparison. The FMR serves as a benchmark for rental rates but does not necessarily reflect actual market conditions. To ensure profitability, landlords should aim to align their rents closely with this figure, adjusting based on local demand and property quality.
Regarding the affordability of acquisitions, the lack of specific data on median home values, days on market (DOM), and the percentage of homes with price cuts makes it difficult to provide a precise assessment. These metrics are essential for understanding how competitive and liquid the real estate market is. Without these details, potential investors must rely on broader regional trends and consult local real estate professionals for insights into acquisition costs and timelines.
Tenant demand is another critical factor. With a population of 35 and a renter share of 58.6%, the zip code presents a niche market. While the total number of potential tenants is low, nearly 60% of the residents are renters, indicating a strong interest in leasing properties. This high renter share suggests that any rental units could be well-utilized, assuming they meet the needs of the local population.
Verdict: ZIP 59642 offers a clear opportunity for those willing to operate in a niche market. The high renter share ensures steady tenant demand, but the small population means competition for tenants will be intense. Investors should focus on ensuring their rents are aligned with the $1,570 FMR to maximize occupancy. Given the limited data on acquisition costs and market liquidity, due diligence through local real estate expertise is essential before making investment decisions. Despite the challenges, the zip code's characteristics suggest a viable, if specialized, investment opportunity for landlords and small-portfolio investors.
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.