Location: Wayne County, MO | Metro: Iron County, MO
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,150 |
| 4 Bedrooms | $1,610 |
| 5 Bedrooms | $1,868 |
| 6 Bedrooms | $2,092 |
| 7 Bedrooms | $2,259 |
| 8 Bedrooms | $2,372 |
U.S. Census Bureau data (2024)
The ZIP code 63956 presents several challenges for landlords considering Section 8 investments. Tenant turnover is a significant risk due to the disparity between the market rent of $666 and the Federal Market Rent (FMR) of $890 for fiscal year 2026 in the metropolitan area. This difference suggests that tenants might be inclined to move when they find properties that better match their financial capabilities, leading to higher vacancy rates and potential revenue loss.
Vacancy exposure is another critical concern. The data shows a lack of information on the average days on market (DOM), which is crucial for estimating how long it might take to fill vacancies. Without this metric, landlords cannot accurately predict the time their property will remain unoccupied, impacting cash flow and overall profitability.
The deferred maintenance exposure is also noteworthy. With no typical home value data available and a median income of $61,146, landlords must be cautious about the condition of the homes they invest in. Low-income households may struggle to maintain their properties adequately, potentially leading to costly repairs and upkeep over time. This can significantly affect the bottom line if not managed properly.
However, these risks are somewhat mitigated by the high renter share in the area, which stands at 40.9%. A substantial portion of the population renting typically indicates a higher demand for rental properties, including those covered by housing vouchers. This demand can provide stability and a steady stream of tenants for Section 8 landlords.
In conclusion, despite the challenges posed by tenant turnover, vacancy exposure, and deferred maintenance, the high renter density in ZIP 63956 suggests a moderate risk for a first-time Section 8 landlord. The demand for rentals provides a buffer against some of the potential downsides, but careful management and attention to property maintenance will be key to success.
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.