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 | $1,040 |
| 1 Bedroom | $1,080 |
| 2 Bedrooms | $1,320 |
| 3 Bedrooms | $1,690 |
| 4 Bedrooms | $1,950 |
| 5 Bedrooms | $2,262 |
| 6 Bedrooms | $2,533 |
| 7 Bedrooms | $2,736 |
| 8 Bedrooms | $2,873 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,690 | $295,833 | 0.57% | F |
U.S. Census Bureau data (2024)
The rent math in ZIP 63373, part of the St. Louis, MO-IL HUD Metro FMR Area, does not align favorably with the Federal Market Rent (FMR) guidelines. The FMR set at $1180 for fiscal year 2024 is higher than the reported market rent of $1,082 according to Census ACS data. This suggests that landlords might find it challenging to justify higher rents based on the federal standard, potentially leading to lower occupancy rates if they cannot compete with market pricing.
Acquisition in this area is relatively affordable, given the median home value stands at $239,420. However, the lack of data regarding days on the market (DOM) and the percentage of homes requiring price cuts indicates that the real estate market may be stable but also somewhat opaque. Without these metrics, it's difficult to gauge how quickly properties can be sold or whether significant price adjustments are necessary to attract buyers.
Tenant demand in ZIP 63373 is modest. With a total population of 690, only 14.2% are renters, which equates to approximately 98 rental units. This low renter share suggests limited demand for rental properties, which could make it harder for landlords to fill vacancies and maintain steady cash flows.
In summary, while the acquisition cost appears reasonable, the misalignment between FMR and market rent, coupled with a low renter share, points to potential challenges in maintaining profitability and attracting tenants. Landlords and investors should carefully consider these factors before committing to the area.
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.