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 | $910 |
| 1 Bedroom | $940 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,480 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,150 | $253,607 | 0.45% | F |
| 3BR | $1,480 | $289,463 | 0.51% | F |
| 4BR | $1,700 | $349,792 | 0.49% | F |
U.S. Census Bureau data (2024)
ZIP 63389, located in Winfield, MO within the St. Louis, MO-IL HUD Metro FMR Area, serves as a strong cash-flow anchor for any Section 8 portfolio strategy. The Federal Market Rent (FMR) for FY 2024 is set at $1010, which exceeds the average market rent of $953. This creates a positive spread of $57 per unit, ensuring that landlords receive above-market rates when participating in the Section 8 program.
The median home value in ZIP 63389 stands at $279,559. This figure is indicative of a stable housing market, where property values are unlikely to experience significant volatility. For small-portfolio investors, this stability means lower risk and a predictable investment environment.
While appreciation plays typically focus on areas with rapidly increasing property values and short days on market (DOM), these metrics are not applicable for ZIP 63389 due to the lack of recent data. However, the strong cash-flow potential makes this area less reliant on capital appreciation for returns.
The ZIP code also features a 25.0% renter share, indicating a healthy demand for rental properties. Coupled with a median income of $98,393, there is sufficient economic activity to support a robust rental market. Landlords can expect steady occupancy rates and reliable tenants who are likely to meet their financial obligations.
In summary, ZIP 63389 is best categorized as a cash-flow anchor within a Section 8 portfolio strategy. The positive spread between the FMR and market rent ensures above-average rental income, while the stable median home value and strong renter base provide a solid foundation for consistent, long-term cash flows.
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.