Billings, MT
Is Billings a good place to buy rental property in 2026?
HUD Fair Market Rent, FY2026, puts a Billings 2-bedroom at $1,417/mo and a 3-bedroom at $1,951/mo. At a stated $265,000 price with the 3-bedroom rent, the sample underwrite below comes to −$292/mo cash flow, a 5.3% cap rate, and a 0.86 DSCR. Whether a specific Billings property works depends on its own price, rent, tax bill, and insurance.
Data as of 2026; verify locally before you offer.
Billings rent benchmark
HUD Fair Market Rent, FY2026, for the county or metro that contains Billings. It is a housing-program benchmark, not a comp for one property. Use it as your starting rent, then replace it with current leases for the address.
| Bedrooms | HUD FMR / month |
|---|---|
| 2 bedrooms | $1,417 |
| 3 bedrooms | $1,951 |
What the HUD rent pencils to
Sample underwrite at a stated $265,000 price using the HUD 3-bedroom benchmark — not a listing. TrueCap ran its sample deal with $1,951/mo of rent and every other assumption unchanged.
- Monthly cash flow
- −$292/mo
- Cap rate
- 5.3%
- DSCR
- 0.86
Assumptions: $265,000 price, $1,951/mo rent (HUD FMR, 3 bedrooms), 20% down, 6.6% rate, 30-year loan, 3% closing costs, 1.49% property tax, 0.5% insurance, 5% vacancy, 8% management, 5% maintenance, 5% CapEx reserve. Change any of them in the analyzer and the numbers move with you.
Three things to verify locally
- Property tax bill. Pull the parcel's current bill from the county assessor or treasurer, and check how the assessment resets after a sale. The sample above uses 1.49% of price; your Billings bill may be higher or lower.
- Rental licensing and permits. Many cities require a rental license, an inspection, or a certificate of occupancy before you can lease. Confirm the Billings rules for the address and budget the fees before you close.
- Insurance quotes. Get a written landlord-policy quote for the specific property, including wind, hail, or flood coverage where it applies. Premiums vary by ZIP, building age, and roof.
Ready to run a Billings property?
Start with Billings context, then verify the address, rent, property tax, insurance, and every other assumption. Every assumption is labeled and editable.
The terms behind the numbers
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