Section 8 Fair Market Rent (FMR) for ZIP 82431 - 2027
Location: Big Horn County, WY | Metro: Big Horn County, WY
Investment Score for ZIP 82431
F
Monthly Rent (2BR)
$1,050
Median Price (2BR)
$189,816
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 | $820 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,300 |
| 4 Bedrooms | $1,640 |
| 5 Bedrooms | $1,902 |
| 6 Bedrooms | $2,130 |
| 7 Bedrooms | $2,300 |
| 8 Bedrooms | $2,415 |
Investment Analysis by Bedroom Size
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms |
Monthly FMR |
Median Price |
1% Rule |
Grade |
| 2BR |
$1,050 |
$189,816 |
0.55% |
F |
| 3BR |
$1,300 |
$283,749 |
0.46% |
F |
| 4BR |
$1,640 |
$346,415 |
0.47% |
F |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$60,295
A skeptical investor considering ZIP 82431, Lovell, Wyoming, might have several concerns regarding the feasibility of investing in Section 8 properties here. Let's address these objections directly with the available data.
- Will FMR $1,030 (metro FY 2026) cover the mortgage on a $277,388 home?: The Fair Market Rent (FMR) for ZIP 82431 is set at $1,030 for fiscal year 2026. This amount must be compared against the monthly mortgage payment for a home priced at $277,388. Assuming a standard 30-year fixed-rate mortgage at an average interest rate of around 5%, the monthly principal and interest payment would be approximately $1,490. Therefore, the FMR of $1,030 does not fully cover the mortgage payment, leaving a shortfall of roughly $460 per month.
- Is there enough renter demand at 28.1%?: The rental vacancy rate in ZIP 82431 is 28.1%. This figure is quite high, indicating that there may not be strong demand for rental units in this area. A high vacancy rate suggests that landlords might struggle to find tenants willing to pay the FMR, which could affect the overall profitability of a Section 8 investment. However, it's important to note that the vacancy rate alone doesn't provide a complete picture of the rental market dynamics, such as tenant preferences and the availability of alternative housing options.
- Will vouchers keep pace with $744 market rents?: The average market rent in ZIP 82431 is $744. Given that the FMR is higher at $1,030, landlords participating in the Section 8 program can expect to receive a subsidy that bridges the gap between the market rent and what the voucher covers. However, whether vouchers will continue to keep pace with market rents depends on future adjustments made by the Department of Housing and Urban Development (HUD). As of now, the FMR exceeds the average market rent, providing some assurance that landlords will not face a significant disparity between the two.
The data shows that while the FMR in ZIP 82431 is sufficient to cover a portion of the mortgage payment, it falls short of fully covering the costs associated with owning a home valued at $277,388. Additionally, the high rental vacancy rate raises questions about the strength of the local rental market. Lastly, although the current FMR is higher than the average market rent, future adjustments to voucher amounts by HUD will determine if this trend continues. These points highlight both opportunities and challenges in investing in Section 8 properties in Lovell, Wyoming.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.