Location: Clearwater County, ID | Metro: Clearwater County, ID
| Unit Size | Monthly FMR |
|---|---|
| Studio | $770 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
U.S. Census Bureau data (2024)
The Section 8 thesis in ZIP code 83553 is fundamentally about leveraging the significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for the metro area in fiscal year 2026 is set at $980, while the Census ACS reports the current market rent at $541. This creates a gap of $439, or approximately 44.8%, between what voucher holders can pay and what the market demands.
Given that the FMR exceeds the market rent, this scenario presents a clear yield opportunity for landlords and small-portfolio investors. Voucher tenants provide a guaranteed and consistent stream of rental income, which is often higher than what could be obtained from non-voucher tenants in the same area. The government covers the difference between the tenant's contribution and the FMR, ensuring that the property generates a higher return than the prevailing market rate would suggest.
In ZIP 83553, only 12.9% of residents are renters, indicating a relatively low demand for rental properties. However, the median home value stands at $265,192, and the median income is $39,191. These figures suggest that while homeownership is prevalent, the cost of living is high relative to income levels. Therefore, the presence of Section 8 vouchers can help bridge the affordability gap for renters, making it a strategic choice for landlords to accept these vouchers.
The cost of housing voucher tenants below open-market rates must be considered. Accepting voucher tenants means adhering to HUD regulations and possibly undergoing inspections, which can be time-consuming. However, the financial benefits outweigh these administrative burdens, especially given the limited rental market and the potential for stable, long-term tenancy.
To summarize, the $439 gap, or 44.8% premium, between the FMR and market rent in ZIP 83553 makes it a compelling yield play for landlords. The combination of low rental demand and high living costs further justifies the strategic advantage of accepting Section 8 vouchers 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.