Location: Idaho County, ID | Metro: Adams County, ID
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 | $990 |
| 1 Bedroom | $1,000 |
| 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 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,690 | $667,492 | 0.25% | F |
U.S. Census Bureau data (2024)
The analysis for the Section 8 program in ZIP code 83654 reveals a critical gap between the Fair Market Rent (FMR) set at $1,050 for the fiscal year 2026 and the actual market rent of $1,000 as reported by the Census ACS. This gap is $50, which represents a 5% difference between the FMR and the current market rent.
Given that the FMR exceeds the market rent, landlords and small-portfolio investors can leverage this situation to maximize yields. The higher FMR means that voucher tenants will pay a larger portion of the rent compared to what they would pay in an open-market scenario. Specifically, voucher holders will cover up to $1,050 of the rent, providing a buffer above the typical market rate. This makes the area a favorable play for those seeking to enhance their rental income without significantly increasing the property's value.
In ZIP 83654, only 9.8% of residents are renters, indicating a relatively low demand for rental properties. However, the median home value stands at $620,853, and the median income is $91,750. These figures suggest that while rental demand is modest, the overall economic conditions support the viability of rental investments. Landlords should be aware that the presence of voucher tenants can mitigate risks associated with lower rental demand, ensuring a steady stream of income that aligns closely with the FMR rather than fluctuating with the open-market rates.
To summarize, the $50 gap between the FMR and the market rent in ZIP 83654 presents an opportunity for landlords to secure higher rents through voucher programs, thereby improving investment yields. This is particularly advantageous given the low percentage of renters and the high median home values in the area, making Section 8 properties a stable choice for small-portfolio investors.
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.