Section 8 Fair Market Rent (FMR) for ZIP 59758 - 2027

Location: Bozeman, MT | Metro: Bozeman, MT MSA

Investment Score for ZIP 59758

F
Monthly Rent (2BR)
$1,940
Median Price (2BR)
$533,540
1% Rule
0.36%
Annual Yield
4.36%

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$1,340
1 Bedroom$1,480
2 Bedrooms$1,940
3 Bedrooms$2,700
4 Bedrooms$3,190
5 Bedrooms$3,700
6 Bedrooms$4,144
7 Bedrooms$4,476
8 Bedrooms$4,700

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
1BR $1,480 $403,681 0.37% F
2BR $1,940 $533,540 0.36% F
3BR $2,700 $660,368 0.41% F
4BR $3,190 $820,101 0.39% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
2,180
Median Household Income
$66,375
Housing Units
1,633
Renter Percentage
39.8%
Occupancy Rate
50.3%
Renter Occupied
327

The classification of ZIP 59758, located in West Yellowstone, MT, can be analyzed based on its yield and stability metrics. On the yield axis, the Federal Market Rent (FMR) for the metro area in fiscal year 2026 is $1,880. This figure represents the expected rental income per unit. However, the actual market rent is lower at $1,060. Coupled with a home value of $638,891, these numbers suggest that the yield potential is moderate rather than high. The gap between FMR and market rent indicates that while there might be some upside potential if the market rate increases towards the FMR, it's currently not a high-yield market.

Moving to the stability axis, the data shows that 39.8% of the residents are renters. This percentage suggests a stable demand for rental properties, as nearly four out of ten residents rely on renting. The median household income of $66,375 provides additional insight into the financial health of the area's residents, indicating that they have sufficient income to sustain rental payments. The lack of data on days on market (DOM) could imply that sales activity is relatively low, which is common in smaller towns like West Yellowstone.

Based on these figures, ZIP 59758 leans more towards being a steady-cashflow zone rather than a high-yield/low-stability market. The moderate rental income combined with a significant portion of residents who are renters, along with decent household income levels, supports a stable investment environment. While the yield isn't exceptionally high, the stability factors make it a suitable choice for landlords and small-portfolio investors looking for consistent returns without the volatility associated with higher-risk investments.

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.