Location: Idaho Falls, ID | Metro: Idaho Falls, ID HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,220 |
| 1 Bedroom | $1,290 |
| 2 Bedrooms | $1,540 |
| 3 Bedrooms | $2,140 |
| 4 Bedrooms | $2,570 |
| 5 Bedrooms | $2,981 |
| 6 Bedrooms | $3,339 |
| 7 Bedrooms | $3,606 |
| 8 Bedrooms | $3,786 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $2,140 | $420,911 | 0.51% | F |
U.S. Census Bureau data (2024)
In ZIP 83427, there are several potential pitfalls for first-time Section 8 landlords. Tenant turnover is a significant concern, with the market rent at $1,533 being notably lower than the Fair Market Rent (FMR) of $1,650 for fiscal year 2024. This discrepancy suggests that tenants might be less committed to long-term leases, leading to higher churn rates. Additionally, vacancy exposure remains a challenge due to the lack of data on days on market (DOM), which indicates uncertainty about how quickly properties can be filled once vacant.
The deferred maintenance exposure is another critical issue. With a typical home value of $431,078 and a median income of $84,009, many residents may struggle to keep up with necessary property repairs and maintenance. This financial strain can translate into higher maintenance costs for landlords, especially when dealing with tenants who have limited resources to contribute to upkeep. The combination of these factors—tenant turnover, vacancy exposure, and deferred maintenance—poses a substantial threat to the stability and profitability of Section 8 investments in this area.
However, these risks must be weighed against the high concentration of renters in ZIP 83427, where 12.6% of the population are renters. High renter density typically correlates with increased demand for housing vouchers, making it easier to find tenants willing to use Section 8 vouchers. This robust demand can mitigate some of the risks associated with vacancy and turnover, ensuring a steady stream of rental income for landlords who are prepared to navigate the challenges.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.