Location: Washington County, MO | Metro: St. Francois County, MO
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 | $730 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,160 |
| 4 Bedrooms | $1,260 |
| 5 Bedrooms | $1,462 |
| 6 Bedrooms | $1,637 |
| 7 Bedrooms | $1,768 |
| 8 Bedrooms | $1,856 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $740 | $96,941 | 0.76% | D |
| 2BR | $960 | $131,823 | 0.73% | D |
| 3BR | $1,160 | $187,170 | 0.62% | D |
| 4BR | $1,260 | $230,140 | 0.55% | F |
U.S. Census Bureau data (2024)
To determine if you should buy in ZIP 63601 (Park Hills, MO) for Section 8 investment, follow this decision tree:
1) Does FMR $890 (metro FY 2026) clear debt service on a $159,130 property?
No. The Fair Market Rent (FMR) of $890 is insufficient to cover the average debt service costs on a property valued at $159,130. Debt service typically includes mortgage payments, property taxes, insurance, and maintenance. For a property of this value, these costs would likely exceed $890 per month.
2) Is market rent $768 (Census ACS) above, at, or below FMR?
Market rent is below FMR. At $768, the market rent is lower than the FMR of $890, indicating that Section 8 tenants might be paying closer to the market rate. However, this does not change the fact that the FMR is still not enough to cover debt service.
3) Are 34.5% renters + 39-day DOM enough demand?
It depends. While the 34.5% of residents who are renters suggests there is some demand for rental properties, the 39-day days on market (DOM) indicates that it takes about 39 days to rent out a property. This is relatively quick, but the key issue remains the first point. If the FMR cannot cover your debt service, then the demand, although present, is not sufficient to make a Section 8 investment profitable.
If you can find a property where the FMR of $890 can cover the debt service, then the demand in ZIP 63601 could support a Section 8 investment. Otherwise, consider looking into areas where the FMR is higher relative to property values or where the market rent is closer to the FMR to ensure profitability.
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.