Location: Cape Girardeau, MO | Metro: Cape Girardeau, MO-IL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $790 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,760 |
| 5 Bedrooms | $2,042 |
| 6 Bedrooms | $2,287 |
| 7 Bedrooms | $2,470 |
| 8 Bedrooms | $2,594 |
U.S. Census Bureau data (2024)
0.0% of the housing units in ZIP code 63745 are rented, indicating a predominantly owner-occupied market. This statistic is crucial for landlords and small-portfolio investors looking to enter or expand in this area, as it suggests limited demand for rental properties. Despite the low rental share, the Fair Market Rent (FMR) for the area stands at $950 for zip FY 2024, which is the benchmark used by the Department of Housing and Urban Development (HUD) for determining payment standards under the Section 8 program. This figure provides a clear guideline for setting rents that align with HUD's standards, ensuring compliance and eligibility for tenants participating in the Section 8 program. The absence of data on market rent, median home value, median income, days on market (DOM), and price-cut share indicates a lack of significant rental activity or recent sales transactions that could provide deeper insights into the local real estate market dynamics. However, the established FMR offers a stable reference point for pricing rental units. For investors considering Section 8 participation, the $950 FMR serves as a reliable indicator of the maximum allowable rent for a standard unit, balancing the need for financial sustainability with the requirement to offer affordable housing options. Given the low renter share and the limited availability of other market indicators, the decision to participate in Section 8 should be made with caution, focusing on the stability provided by the FMR and the potential for long-term tenancy rather than speculative gains.
Section 8 Verdict: Suitable for investors seeking stable, long-term rental income with minimal market volatility.
Data Sources: FMR data from HUD (2027). 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.