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 | $1,390 |
| 1 Bedroom | $1,440 |
| 2 Bedrooms | $1,760 |
| 3 Bedrooms | $2,260 |
| 4 Bedrooms | $2,610 |
| 5 Bedrooms | $3,028 |
| 6 Bedrooms | $3,391 |
| 7 Bedrooms | $3,662 |
| 8 Bedrooms | $3,845 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,440 | $88,382 | 1.63% | A+ |
| 2BR | $1,760 | $197,012 | 0.89% | C |
| 3BR | $2,260 | $324,085 | 0.7% | D |
| 4BR | $2,610 | $403,727 | 0.65% | D |
| 5BR | $3,028 | $456,233 | 0.66% | D |
U.S. Census Bureau data (2024)
The Section 8 market analysis for ZIP code 63146 in Saint Louis County, Missouri, reveals a favorable environment for investors. The Fair Market Rent (FMR) set by HUD for this area in fiscal year 2024 is $1510 per month, which is notably higher than the actual market rent, known as the Zillow Observed Rent Index (ZORI), of $1305. This indicates that voucher tenants can easily cashflow at the HUD FMR without requiring premium units.
To further understand the investment potential, consider the median home value in ZIP 63146, which stands at $330,133. With a monthly rent of $1305, the rent-to-price ratio is approximately 0.4%, suggesting a strong buy-to-rent market where owning property is more economically sensible than renting.
The market dynamics also support this conclusion. The median Days on Market (DOM) is just 9 days, indicating a brisk pace of sales. Additionally, the share of homes that have had their prices cut is only 0.2%, reinforcing the stability and demand in the housing market. These factors suggest that rental properties are likely to be occupied promptly, minimizing vacancy risks.
The strongest angle for Section 8 investors in this ZIP code is cashflow. Given the gap between HUD FMR and market rents, landlords can expect to generate positive cash flow with minimal risk, making it an attractive investment opportunity.
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.