Location: St. Louis, MO | Metro: St. Louis, MO-IL 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 | $760 |
| 1 Bedroom | $790 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,420 |
| 5 Bedrooms | $1,647 |
| 6 Bedrooms | $1,845 |
| 7 Bedrooms | $1,993 |
| 8 Bedrooms | $2,093 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,230 | $301,358 | 0.41% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 62037 stands at $73,454, indicating a relatively stable economic environment for its residents. However, when considering the affordability of housing, the situation becomes less clear due to the lack of specific market rate data. Despite this, we can analyze the impact of Section 8 vouchers on the local rental market.
The Fair Market Rent (FMR) for ZIP 62037 in fiscal year 2024 is set at $960. This means that households receiving Section 8 assistance can afford rents up to this amount. Given the limited market rate data, it is difficult to determine how this compares directly, but we can infer that landlords who accept vouchers are setting their rents at or below this threshold to remain competitive.
With only 17.1% of the 1,814 population being renters, the overall demand for rental properties is modest. This suggests that landlords face a smaller pool of potential tenants, which could lead to increased competition among landlords to attract both voucher recipients and those paying cash. The affordability gap, represented by the difference between the median income and the maximum voucher payment, highlights the financial strain many renters might be under.
For landlords, the decision to accept vouchers versus cash-paying tenants should consider several factors. Accepting vouchers ensures a steady stream of income guaranteed by the government, albeit at a fixed rate of $960. Cash-paying tenants might offer higher rents but come with the risk of vacancy and the need to compete more aggressively on amenities and property condition.
Takeaway: In ZIP 62037, landlords must balance the security of government-backed voucher payments with the potential for higher rents from cash-paying tenants. Given the modest rental market and the affordability challenges faced by many, accepting vouchers can be a strategic move to ensure occupancy and stable income. However, improving property quality and location can also make a significant difference in attracting higher-paying tenants, thereby increasing revenue beyond the voucher standard.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.