Section 8 Fair Market Rent (FMR) for ZIP 63124 - 2027

Location: St. Louis, MO | Metro: St. Louis, MO-IL HUD Metro FMR Area

Investment Score for ZIP 63124

F
Monthly Rent (2BR)
$2,020
Median Price (2BR)
$430,645
1% Rule
0.47%
Annual Yield
5.63%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,590
1 Bedroom$1,650
2 Bedrooms$2,020
3 Bedrooms$2,590
4 Bedrooms$2,990
5 Bedrooms$3,468
6 Bedrooms$3,884
7 Bedrooms$4,195
8 Bedrooms$4,405

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $2,020 $430,645 0.47% F
3BR $2,590 $848,033 0.31% F
4BR $2,990 $1,434,703 0.21% F
5BR $3,468 $2,227,592 0.16% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
10,839
Median Household Income
$193,942
Housing Units
5,390
Renter Percentage
23.9%
Occupancy Rate
89.6%
Renter Occupied
1,157

The Fair Market Rent (FMR) for ZIP code 63124, Ladue, Missouri, for fiscal year 2024 is set at $1620. This figure represents the maximum amount that a landlord can charge for rent under the Section 8 program. It is important to note that this is not the actual rent that tenants will pay; it's a benchmark used by the Housing Choice Voucher Program to determine the subsidy level.

In comparison, the local Zillow Rent Index (ZORI) for the same area is currently at $1,885. This means that while you might be able to charge more than the FMR to private renters, under Section 8, your rental income would be capped at $1620 per month. The difference between the FMR and the ZORI suggests that there could be a financial incentive to rent outside of the Section 8 program if your property's value justifies the higher rate.

The 23.9% renter share indicates that a significant portion of the population in this area is renting, which can be interpreted as strong demand for rental properties. However, it also implies that a substantial number of these renters may need assistance to cover their housing costs, making Section 8 a viable option for filling vacancies.

Acquiring a property in this area for Section 8 could cost approximately $1,262,618, based on recent market data. This figure reflects the average price of a home in the ZIP code, which is a critical factor when deciding whether to enter the Section 8 market. Given the acquisition cost, it's crucial to ensure that the property meets the quality standards required by the program to avoid potential issues that could lead to reduced rental income or loss of tenants.

Before proceeding with a Section 8 rental in ZIP 63124, it is essential to verify that your property complies with the Housing Quality Standards (HQS). These standards ensure that the property is safe, decent, and sanitary, and failure to meet them could result in disqualification from the program. Ensuring HQS compliance is a clear and necessary step to take before finalizing your decision to participate in Section 8.

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.