Section 8 Fair Market Rent (FMR) for ZIP 63821 - 2027

Location: Dunklin County, MO | Metro: Dunklin County, MO

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$710
1 Bedroom	$740
2 Bedrooms	$960
3 Bedrooms	$1,330
4 Bedrooms	$1,570
5 Bedrooms	$1,821
6 Bedrooms	$2,040
7 Bedrooms	$2,203
8 Bedrooms	$2,313

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

616

Median Household Income

$40,238

Housing Units

343

Renter Percentage

32.1%

Occupancy Rate

76.4%

Renter Occupied

A landlord considering investing in ZIP code 63821 for Section 8 purposes must navigate several key factors to make an informed decision. The first step is to determine if the Fair Market Rent (FMR) of $890 for the metro area in fiscal year 2026 can cover the debt service on a property valued at $57,756. This involves calculating the monthly mortgage payment and comparing it to the FMR. If the FMR of $890 exceeds the monthly debt service, then the investment is financially viable.

The second factor is the comparison between the market rent of $625 (as per the Census ACS data) and the FMR. If the market rent is below the FMR, then landlords could potentially benefit from higher rental income through Section 8 vouchers. However, if the market rent is equal to or above the FMR, the attractiveness of the ZIP code diminishes since there would be little financial incentive to participate in the program over regular market rentals.

The third consideration revolves around demand. In ZIP 63821, 32.1% of residents are renters. Additionally, the data shows that the days on market (DOM) for properties is listed as N/A, which suggests either limited data availability or a very active market where properties do not stay on the market long. Assuming the latter, this indicates strong demand among renters, making the ZIP code appealing for those interested in Section 8 investments.

If the FMR does not cover the debt service: No, do not invest. The primary goal of any real estate investment is to ensure that the rental income covers the cost of owning the property, including mortgage payments, maintenance, and other expenses.
If the FMR covers the debt service: It depends on the market rent. If the market rent is below the FMR, proceed with caution but consider the investment. If the market rent equals or exceeds the FMR, then the investment is less attractive unless there are other compelling reasons to enter this ZIP code.
If the market rent is significantly below the FMR: Yes, the potential for higher rental income through Section 8 vouchers makes this a good investment opportunity.
If the market rent is close to or above the FMR: No, the financial benefits of participating in the Section 8 program are minimal compared to renting at market rates.
If the demand is high: Yes, the strong rental market indicated by the percentage of renters and the assumption of low DOM supports the viability of the investment.
If the demand is uncertain or low: No, a weak rental market will likely result in difficulty finding tenants and maintaining occupancy levels, which is critical for the success of a Section 8 investment.

In summary, the decision to invest in ZIP 63821 for Section 8 purposes hinges on whether the FMR can support the debt service, how the market rent compares to the FMR, and the strength of the rental demand. High demand and a favorable FMR-to-market-rent ratio make the ZIP code a viable option for Section 8 investments.

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.