Location: Lewis County, ID | Metro: Idaho County, ID
| Unit Size | Monthly FMR |
|---|---|
| Studio | $740 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,440 |
| 4 Bedrooms | $1,740 |
| 5 Bedrooms | $2,018 |
| 6 Bedrooms | $2,260 |
| 7 Bedrooms | $2,441 |
| 8 Bedrooms | $2,563 |
U.S. Census Bureau data (2024)
A skeptical investor considering Section 8 properties in ZIP code 83522 might raise several valid concerns. Let's address these points directly using the available data.
The FMR of $1,030 is an important figure, but it does not guarantee that it will cover the mortgage on a $345,159 home. To determine if the FMR can cover the mortgage, we need to consider the interest rate and the term of the loan. Assuming a typical interest rate and a standard 30-year mortgage, the monthly payment on a $345,159 home could range widely depending on the exact interest rate. However, the FMR provides a benchmark for what is considered a reasonable rent in the area, which can help ensure that the property remains financially viable. For instance, if the mortgage payment is below $1,030, then the FMR would indeed cover the mortgage comfortably. If the mortgage payment exceeds this amount, adjustments such as increasing the down payment or finding a lower interest rate might be necessary.
The 20.7% renter occupancy rate indicates that a significant portion of the housing stock in ZIP 83522 is already occupied by renters. This suggests that there is a notable demand for rental properties in the area. While 20.7% might seem low compared to some metropolitan areas, it is still a substantial number of households. The key here is to understand the local market dynamics. If the area has a growing population or limited new construction, the existing demand could translate into a steady stream of potential tenants. Additionally, the demand for Section 8 properties is often driven by specific needs rather than general market conditions, making the percentage less relevant in this context.
The concern over whether vouchers will match up with the $875 market rent is a legitimate one. According to the data, the voucher amount in ZIP 83522 is expected to align closely with the FMR of $1,030 for the metro area in fiscal year 2026. This means that landlords participating in the Section 8 program should expect to receive payments that are sufficient to cover most market rents, including the $875 figure. However, the exact amount of the voucher can vary based on the size of the unit and other factors, so it's crucial to verify the specific voucher amount for the type of units you plan to offer. In general, the trend shows that voucher amounts have been adjusted to meet market demands, ensuring that landlords are compensated fairly.
The data provides a clear picture of the financial landscape in ZIP 83522, but it's important to note that individual circumstances can affect the outcome. For instance, the actual mortgage payment will depend on the interest rate and loan terms, while the voucher amount may vary slightly based on unit size and other considerations. Despite these variables, the trends indicate that Section 8 investments can be financially sound in this area.
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.