Location: Pemiscot County, MO | Metro: New Madrid 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 | $760 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,310 |
| 5 Bedrooms | $1,520 |
| 6 Bedrooms | $1,702 |
| 7 Bedrooms | $1,838 |
| 8 Bedrooms | $1,930 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $990 | $75,619 | 1.31% | A |
| 3BR | $1,230 | $134,709 | 0.91% | C |
U.S. Census Bureau data (2024)
The median income in ZIP code 63873, Missouri, stands at $54,362. Given the market rate of $718 for rent (as per the Census ACS), it becomes evident that the average household faces significant challenges in affording housing at this price point. This is further compounded when considering the Fair Market Rent (FMR) set at $910 by the Housing Choice Voucher program for the fiscal year 2026. The discrepancy between the median income and both the market rate and the FMR highlights a substantial affordability gap for residents.
To put this into perspective, the average household would need to allocate a considerable portion of their income towards rent. At the market rate of $718, this equates to approximately 16% of the annual median income. However, when the FMR of $910 is taken into account, the required allocation rises to around 20%. These figures suggest that residents are likely to struggle with making ends meet, especially if they have other financial obligations such as utilities, food, and healthcare.
With 33.5% of the 4,015 population being renters, the competition among landlords in this area is keen. Landlords must be strategic in their rental pricing and consider the affordability constraints faced by potential tenants. Offering rents closer to the market rate rather than the FMR could attract more cash-paying tenants who might otherwise be priced out of the housing market. However, this strategy also means landlords will have to manage the risks associated with tenants who may struggle to maintain consistent payments due to the high cost of living relative to income.
The takeaway for landlords is clear: there is a notable divide between the market rate and the FMR, which impacts the ability of tenants to pay. Landlords should carefully weigh the benefits of accepting voucher payments against the potential for higher cash rents. Accepting vouchers can provide a steady stream of reliable income, albeit at a lower rate than the market might allow. On the other hand, setting rents closer to the market rate may increase the pool of potential tenants but also increases the risk of vacancy or late payments.
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.