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 | $1,100 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,400 |
| 3 Bedrooms | $1,800 |
| 4 Bedrooms | $2,070 |
| 5 Bedrooms | $2,401 |
| 6 Bedrooms | $2,689 |
| 7 Bedrooms | $2,904 |
| 8 Bedrooms | $3,049 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,150 | $88,082 | 1.31% | A |
| 2BR | $1,400 | $126,582 | 1.11% | B |
| 3BR | $1,800 | $166,166 | 1.08% | B |
| 4BR | $2,070 | $187,803 | 1.1% | B |
| 5BR | $2,401 | $213,510 | 1.12% | B |
U.S. Census Bureau data (2024)
Overland, Missouri, located in ZIP code 63114, is a residential area with a total population of 33,969. Approximately 41.8% of residents are renters, indicating a significant demand for rental properties. The median household income stands at $55,870, suggesting a middle-class community where affordability is a key consideration. Median home values in Overland are listed at $139,355, which reflects the overall economic profile of the area.
The rental economics in Overland are characterized by a Federal Market Rent (FMR) of $1,240 for the fiscal year 2024, compared to a market rent of $1,356 as measured by Zillow's ZORI index. This indicates that the government's rental subsidy rates are slightly below the actual market rates, creating a potential gap between the rents subsidized by the Housing Choice Voucher program and the rents landlords might prefer to charge.
Given these figures, Overland presents an interesting opportunity for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the area's high percentage of renters and the established demand for affordable housing make it suitable for managing Section 8 properties without requiring extensive tenant screening or property management efforts. However, the difference between the FMR and market rent means that landlords must be prepared to accept lower rents than the market average, which can impact their cash flow and profitability.
For value-add buyers, Overland offers the chance to improve properties and potentially command higher rents, though this strategy would require a deeper understanding of local market conditions and a willingness to invest in property enhancements. The relatively low median home value also suggests that there may be opportunities to purchase undervalued assets and increase their value through strategic improvements.
In conclusion, Overland, Missouri, in ZIP code 63114, is a middle-class neighborhood with a strong rental market. The current FMR is $1,240, while the market rent is $1,356. Landlords should consider whether they are looking for a stable, hands-off investment or if they have the capacity to engage in value-add activities to maximize returns. Both approaches have their merits, but careful consideration of the local economic context is essential for success.
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.