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 | $1,220 |
| 1 Bedroom | $1,270 |
| 2 Bedrooms | $1,550 |
| 3 Bedrooms | $1,990 |
| 4 Bedrooms | $2,300 |
| 5 Bedrooms | $2,668 |
| 6 Bedrooms | $2,988 |
| 7 Bedrooms | $3,227 |
| 8 Bedrooms | $3,388 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,990 | $266,321 | 0.75% | D |
U.S. Census Bureau data (2024)
The market in ZIP code 62295 is currently experiencing a dynamic equilibrium between supply and demand, leaning slightly towards a scenario where demand is catching up with supply. This inference is drawn from the Fair Market Rent (FMR) of $1410 for the fiscal year 2024, which stands notably higher than the reported market rent of $1,121 based on Census ACS data. The gap suggests that while rental prices are rising, they have yet to fully align with the fair market assessment, indicating potential upward pressure on rents.
The median home value in the area is $260,675, which is a significant figure for evaluating the overall housing market health. A higher median home value typically signals a robust market with good investment opportunities, but it also means that homeownership can be less accessible to lower-income residents, potentially driving them towards renting. This dynamic can contribute to sustained rental demand.
The renter share of the population is 18.1%, which is relatively low compared to national averages. However, this percentage still represents a substantial portion of the local housing market. In areas with a high renter share, there's often greater long-term housing pressure due to the limited availability of affordable housing options. Conversely, a lower renter share might suggest a stable housing market where many residents own their homes, reducing immediate pressure on rental properties. Yet, it also implies that the rental market could grow if conditions shift, such as an increase in job opportunities attracting new renters.
The lack of specific data on price-cut share and days on market (DOM) prevents a detailed analysis of how quickly units are being rented or sold. However, the disparity between FMR and actual market rent points to a market where landlords and property managers may find themselves adjusting their pricing strategies to remain competitive. As demand increases, we can expect to see more alignment between these two figures, with market rents likely rising closer to the FMR over time.
In summary, ZIP 62295 presents a market where rental prices are poised for growth, driven by the gap between the current market rent and the FMR. With a median home value of $260,675, the area is attractive for both homeowners and investors. The 18.1% renter share suggests a balanced market with potential for expansion in the rental sector, particularly if economic conditions change, leading to increased housing pressure.
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.