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 | $840 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,580 |
| 5 Bedrooms | $1,833 |
| 6 Bedrooms | $2,053 |
| 7 Bedrooms | $2,217 |
| 8 Bedrooms | $2,328 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $880 | $80,752 | 1.09% | B |
| 2BR | $1,070 | $124,260 | 0.86% | C |
| 3BR | $1,370 | $169,940 | 0.81% | C |
| 4BR | $1,580 | $200,722 | 0.79% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 63111, located in Saint Louis, Missouri, within Saint Louis City County, operate under specific financial guidelines that directly impact landlords and small-portfolio investors. For fiscal year 2024, the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code is set at $1030. This SAFMR is a crucial figure as it represents the maximum amount that the federal government will pay towards rental assistance in this specific ZIP code.
In contrast, the local market rent for a two-bedroom unit in ZIP 63111 is currently running at $916, according to ZORI (Zillow Observed Rent Index). This discrepancy between the SAFMR and the local market rent provides a unique opportunity for landlords who participate in the Section 8 program.
When a landlord accepts a Section 8 voucher for a two-bedroom apartment, the payment structure involves both the government subsidy and the tenant's contribution. The tenant is typically responsible for paying approximately 30% of their adjusted income towards rent. If we assume an average adjusted income of $1500 per month, the tenant would contribute around $450 to the monthly rent.
The remaining amount is covered by the Section 8 voucher, which would be approximately $580 in this case, assuming the full SAFMR of $1030 is utilized. Additionally, the voucher includes utility allowances that can vary based on the type of utilities used in the property. For simplicity, let’s consider an average utility allowance of $100. Therefore, the total reimbursement a landlord would receive from the voucher and the tenant would sum up to about $680.
This reimbursement model leaves a potential gap or surplus depending on the market conditions and the landlord’s asking price. Given that the local market rent is $916, a landlord participating in the Section 8 program would experience a shortfall of approximately $236 per month if they charge the market rate. However, if the landlord sets the rent at the SAFMR level of $1030, the gap increases to $350 per month.
To summarize, the typical reimbursement for a two-bedroom apartment in ZIP 63111 under the Section 8 program is $680, considering a tenant contribution of $450 and an average utility allowance of $100. Landlords should be aware that there is a reimbursement gap when comparing this to the local market rent of $916, resulting in a landlord bearing a cost of $236 per month, or a larger gap of $350 if renting at the SAFMR rate of $1030.
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.