Location: Silver Bow County, MT | Metro: Beaverhead County, MT
| Unit Size | Monthly FMR |
|---|---|
| Studio | $930 |
| 1 Bedroom | $1,040 |
| 2 Bedrooms | $1,280 |
| 3 Bedrooms | $1,780 |
| 4 Bedrooms | $1,970 |
| 5 Bedrooms | $2,285 |
| 6 Bedrooms | $2,559 |
| 7 Bedrooms | $2,764 |
| 8 Bedrooms | $2,902 |
U.S. Census Bureau data (2024)
The ZIP code 59762, located in Silver Bow County, MT, presents an interesting opportunity for landlords and small-portfolio investors when considering a Section 8 portfolio strategy. This area can be categorized as a cash-flow anchor due to the significant spread between the Fair Market Rent (FMR) and the actual market rental rates.
According to the data provided, the FMR for the metro area in fiscal year 2026 is $1,240. In contrast, the market rental rate in ZIP 59762 is $1,075. This means that landlords participating in the Section 8 program can expect a higher rental income compared to the local market rates, which can significantly improve their cash flow. Additionally, the median home value in the area is $577,252, indicating a relatively stable housing market that supports the FMR.
The appreciation potential in ZIP 59762 is limited, as there is no specific percentage given for price-cut shares or days on the market (DOM). However, the strong cash flow generated by the higher FMR can compensate for the lack of appreciation plays.
ZIP 59762 also serves as a diversifier within a Section 8 portfolio. With a 9.4% renter share and a median income of $61,125, the area offers a mix of low-income renters who qualify for Section 8 assistance and a moderate-income population that can provide additional rental options. This diversity helps mitigate risks associated with relying solely on government subsidies.
In summary, ZIP 59762 is best suited as a cash-flow anchor within a Section 8 portfolio strategy. The substantial difference between the FMR and market rental rates ensures a steady, reliable income stream for investors. While appreciation opportunities are not highlighted, the area's stable housing market and diverse tenant base make it a valuable addition to any investment portfolio focused on long-term stability and consistent returns.
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.