Location: Caribou County, ID | Metro: Idaho Falls, ID HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,000 |
| 1 Bedroom | $1,010 |
| 2 Bedrooms | $1,220 |
| 3 Bedrooms | $1,690 |
| 4 Bedrooms | $2,040 |
| 5 Bedrooms | $2,366 |
| 6 Bedrooms | $2,650 |
| 7 Bedrooms | $2,862 |
| 8 Bedrooms | $3,005 |
U.S. Census Bureau data (2024)
The analysis for ZIP code 83285 reveals a significant gap between the Fair Market Rent (FMR) set by HUD and the actual market rents. For fiscal year 2024, the FMR is $1,100. However, the market rent remains unspecified, indicating that the FMR may be lower than what the market demands.
The FMR is $1,100, while the median home value in the area is $450,000. This suggests that the rental market is potentially undervalued compared to the property values, creating a scenario where landlords might face financial pressures if they rely solely on Section 8 vouchers. Given that 45.0% of the residents are renters, the reliance on rental income is substantial.
The median income in ZIP code 83285 is $70,178, which is nearly double the median income in the broader Idaho Falls, ID Metro Area ($34,977). Despite this relatively high income, the median household income is not specified, making it difficult to gauge the overall economic health of the area.
If the market rent exceeds the FMR, landlords accepting Section 8 vouchers would effectively be subsidizing housing costs below the market rate. This could reduce the profitability of properties in the area, especially when considering the high median home value and the significant number of renters. Landlords must weigh the benefits of stable, government-backed rental income against the potential loss of yield compared to open-market rents.
In summary, the gap between the FMR and the unspecified market rent highlights a challenge for landlords. Accepting Section 8 vouchers can ensure steady income but may result in lower yields than renting at market rates. This decision should be made with consideration of the local demographics and economic conditions.
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.