Location: Carter County, MO | Metro: Butler 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 | $720 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $970 |
| 3 Bedrooms | $1,270 |
| 4 Bedrooms | $1,270 |
| 5 Bedrooms | $1,473 |
| 6 Bedrooms | $1,650 |
| 7 Bedrooms | $1,782 |
| 8 Bedrooms | $1,871 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $970 | $94,729 | 1.02% | B |
| 3BR | $1,270 | $188,972 | 0.67% | D |
| 4BR | $1,270 | $254,541 | 0.5% | F |
| 5BR | $1,473 | $347,916 | 0.42% | F |
U.S. Census Bureau data (2024)
The median income in ZIP code 63901, which includes Poplar Bluff, Missouri, stands at $51,152. This figure is crucial when evaluating the affordability of housing for local residents. The current market rate for rent, according to Census ACS data, is $791 per month. Given the median income, it becomes evident that a significant portion of households may struggle to meet this market rate consistently, especially considering other living expenses.
To put this into perspective, let’s compare the market rate with the Fair Market Rent (FMR) standards set for voucher payments in the metro area for fiscal year 2026, which is $900. While the voucher payment is higher than the market rate, it is still a fixed amount that might not cover all expenses landlords incur. Moreover, the market rate being lower than the voucher payment suggests that there is a segment of the rental market where tenants could find affordable housing without needing a voucher.
With 37.2% of the population renting and a total population of 35,324, the competition among landlords is notable. The affordability gap between the median income and both the market rate and the FMR indicates a challenge for both tenants and landlords. Tenants may have difficulty affording market-rate rents, leading them to seek out subsidized housing options. Landlords, on the other hand, must balance the benefits of receiving consistent, government-backed payments from voucher holders against the potential for higher cash rents from non-voucher tenants.
Landlords operating in ZIP 63901 should consider the following strategy: given the high percentage of renters and the tight budget constraints many face, focusing on attracting voucher tenants could be a prudent move. This ensures a steady stream of income, albeit at a slightly lower rate than the market average. However, landlords should also be prepared to offer competitive rates to attract cash-paying tenants who might be looking for deals due to the affordability gap.
In conclusion, landlords in ZIP 63901 must navigate a nuanced market where the median income does not comfortably support the $791 market rate, and the FMR of $900 represents a subsidy that can help bridge the affordability gap. By understanding the local economic conditions and tenant needs, landlords can make informed decisions on whether to accept vouchers or aim for cash-paying tenants, or perhaps adopt a mixed approach to maximize their occupancy and income stability.
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.