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 | $950 |
| 1 Bedroom | $980 |
| 2 Bedrooms | $1,200 |
| 3 Bedrooms | $1,540 |
| 4 Bedrooms | $1,780 |
| 5 Bedrooms | $2,065 |
| 6 Bedrooms | $2,313 |
| 7 Bedrooms | $2,498 |
| 8 Bedrooms | $2,623 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,540 | $188,950 | 0.82% | C |
U.S. Census Bureau data (2024)
The rent math in ZIP code 62264, part of the St. Louis, MO-IL HUD Metro FMR Area, does not favor landlords. The Fair Market Rent (FMR) set at $1110 for FY 2024 is significantly higher than the actual market rent of $887 as reported by the Census ACS. This discrepancy suggests that landlords may struggle to find tenants willing to pay the FMR rate, as the market indicates a lower acceptable rent.
Regarding acquisition affordability, the median home value of $158,971 makes it a relatively affordable area for investment. However, the lack of data on days on market (DOM) and the percentage of homes requiring price cuts indicates uncertainty about the ease of acquiring properties. Without these metrics, it's challenging to assess the competitive landscape and the typical challenges faced by investors in this market.
Tenant demand in ZIP 62264 is moderate. With a total population of 3,097, the renter share stands at 22.8%, translating to approximately 705 potential renters. While this number is not negligible, the relatively small population size could limit the pool of prospective tenants, especially if the rental market is already saturated.
In conclusion, while the acquisition cost appears reasonable at $158,971, the mismatch between the FMR and the actual market rent poses a significant challenge. The limited tenant base further complicates the potential success of rental investments. Landlords should proceed with caution, considering the economic realities and the specific needs of the local rental market before committing to investments in this ZIP code.
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.