Location: Lewis and Clark County, MT | Metro: Lewis and Clark County, MT HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,180 |
| 1 Bedroom | $1,350 |
| 2 Bedrooms | $1,690 |
| 3 Bedrooms | $2,340 |
| 4 Bedrooms | $2,450 |
| 5 Bedrooms | $2,842 |
| 6 Bedrooms | $3,183 |
| 7 Bedrooms | $3,438 |
| 8 Bedrooms | $3,610 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,690 | $443,665 | 0.38% | F |
| 3BR | $2,340 | $645,465 | 0.36% | F |
U.S. Census Bureau data (2024)
A landlord considering purchasing a property in ZIP code 59648 (Wolf Creek, MT) for Section 8 needs to follow a decision tree based on the Fair Market Rent (FMR), local rental rates, and demand metrics.
Step 1: Determine if the FMR of $1,690 can cover the debt service on a property valued at $466,162. This step requires calculating the monthly mortgage payment, including principal, interest, taxes, and insurance. If the total monthly debt service is less than $1,690, then the answer is yes; otherwise, no. For example, if the monthly mortgage payment is $1,200 and the annual property tax and insurance combined amount to $1,200, the total monthly debt service would be $1,300, which is below the FMR, making it feasible for Section 8 participation.
Step 2: Compare the FMR to the market rent. In this case, the market rent is listed as N/A, which means there isn't sufficient data to make an accurate comparison. Without knowing the market rent, it's impossible to determine whether the FMR is above, at, or below what tenants are willing to pay. Therefore, the answer here is that it depends on finding out the actual market rent rates.
Step 3: Assess the demand for rentals. The ZIP code has 10.7% of its population as renters, and the days on market (DOM) is also listed as N/A. This indicates a relatively low percentage of renters compared to other areas, but without knowing how long properties stay on the market, it's unclear if there is sufficient demand. If the DOM is short, say under 30 days, it suggests strong demand despite the low percentage of renters. Conversely, if the DOM is long, it implies weak demand. Given the available data, the answer is that it depends on the actual DOM figures.
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.