Section 8 Fair Market Rent (FMR) for ZIP 59903 - 2027

FY 2027 Fair Market Rent Rates

The economics of Section 8 in ZIP code 59903, located in Flathead County, Montana, are straightforward. The SAFMR (Section 8 Assistance Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $1,690. This figure represents the maximum amount that HUD (Housing and Urban Development) will pay landlords for eligible tenants.

To understand what a landlord can expect to receive from a voucher, it's important to factor in the tenant's portion of the rent and any utility allowances. Tenants are generally required to contribute 30% of their adjusted income towards rent. If a tenant's adjusted income is $1,000 per month, they would owe $300 toward rent, leaving the remainder of the SAFMR to be covered by the voucher. In this case, HUD would cover the difference between the $300 tenant contribution and the $1,690 SAFMR, which amounts to $1,390.

In addition to the base rent, there are utility allowances that can vary based on the type of unit and location. For ZIP 59903, these allowances are included in the total reimbursement package but are not separately itemized here. They ensure that the tenant has enough money to cover essential utilities without financial strain.

Given that the local market rent for a two-bedroom apartment is currently unavailable, we cannot directly compare the SAFMR to market rates. However, it's crucial to note that the SAFMR is set specifically for this ZIP code, reflecting local housing conditions and costs. Landlords should verify the local rental market to assess if the SAFMR is competitive with other rental options.

The typical reimbursement gap or surplus for a two-bedroom voucher in ZIP 59903 depends on the actual market rent of the property. Since the local market rent is not available, landlords must rely on the SAFMR to estimate their potential income. If the market rent is higher than $1,690, landlords will face a reimbursement gap, meaning they won't receive the full market rent from HUD and will need to determine if the lower income is acceptable. Conversely, if the market rent is lower, landlords will have a surplus, receiving the full market rent plus additional security from HUD payments.

To summarize, landlords in ZIP 59903 can expect a voucher payment of up to $1,690 for a two-bedroom apartment, with the tenant contributing 30% of their adjusted income. The actual reimbursement will depend on the tenant's income and the local market rent, which is currently unknown. Therefore, landlords must assess their individual situations and the broader rental market to determine the economic viability of accepting Section 8 vouchers.

Data Sources: FMR data from HUD (2027).

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.