Location: Boise City, ID | Metro: Boise City, 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 | $1,060 |
| 1 Bedroom | $1,260 |
| 2 Bedrooms | $1,500 |
| 3 Bedrooms | $2,090 |
| 4 Bedrooms | $2,510 |
| 5 Bedrooms | $2,912 |
| 6 Bedrooms | $3,261 |
| 7 Bedrooms | $3,522 |
| 8 Bedrooms | $3,698 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,500 | $555,108 | 0.27% | F |
| 3BR | $2,090 | $630,006 | 0.33% | F |
| 4BR | $2,510 | $768,392 | 0.33% | F |
| 5BR | $2,912 | $866,933 | 0.34% | F |
U.S. Census Bureau data (2024)
18.9% of residents in ZIP 83641, Melba, ID, are renters, indicating a moderate demand for rental properties in the area. The $1,107 market rent, as reported by the Census ACS, suggests that landlords can expect to charge this amount per month for a typical unit. However, it's important to note that the Fair Market Rent (FMR) for Section 8 in zip code 83641 for fiscal year 2024 is set at $1310, which is higher than the current market rent. This discrepancy means that Section 8 vouchers could cover a significant portion of the rent for eligible tenants, making these units attractive to both landlords and low-income families.
The median home value in Melba, ID, stands at $661,902, reflecting a relatively high cost of living in the area. Despite this, the median income of $84,730 may limit the financial capacity of many residents to afford market rents without assistance. Given the lack of data on days on market (DOM) and the percentage of price-cut shares, it appears that the local real estate market might be stable but lacks recent transactional volatility insights.
Investors considering Section 8 participation should weigh the benefits of guaranteed rent against potential administrative burdens. With the FMR exceeding the current market rent, there is an opportunity for landlords to secure steady income through government-subsidized rentals. The higher FMR also implies that the subsidy gap is favorable, allowing landlords to potentially charge closer to market rates while still providing affordable housing options.
In conclusion, the data points to a viable opportunity for landlords and small-portfolio investors in Melba, ID, to participate in the Section 8 program, given the favorable subsidy levels relative to market rents. The decision to join should be based on a thorough understanding of local market dynamics and the willingness to comply with HUD regulations.
Section 8 verdict: Favorable for participation due to higher FMR compared to market rent.
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.