Location: Kansas City, MO | Metro: Kansas City, MO-KS HUD Metro FMR Area
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 | $1,490 |
| 1 Bedroom | $1,620 |
| 2 Bedrooms | $1,830 |
| 3 Bedrooms | $2,390 |
| 4 Bedrooms | $2,860 |
| 5 Bedrooms | $3,318 |
| 6 Bedrooms | $3,716 |
| 7 Bedrooms | $4,013 |
| 8 Bedrooms | $4,214 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,620 | $162,437 | 1% | C |
| 2BR | $1,830 | $239,672 | 0.76% | D |
| 3BR | $2,390 | $328,556 | 0.73% | D |
| 4BR | $2,860 | $389,900 | 0.73% | D |
| 5BR | $3,318 | $466,127 | 0.71% | D |
U.S. Census Bureau data (2024)
The ZIP code 64111 in Kansas City, MO, presents a dynamic housing market with clear indications of how supply and demand interact. The Fair Market Rent (FMR) for the area is set at $1440 for fiscal year 2024, while the actual market rent, as indicated by Zillow's ZORI index, stands at $1,287. This suggests that rental prices are slightly below what is considered fair market value, indicating a potential balance or slight surplus in rental properties.
The 0.3% price-cut share reflects a competitive environment where landlords are willing to adjust their rents minimally to attract tenants. Coupled with a 20-day Days on Market (DOM), this implies that rental units are typically occupied quickly, suggesting a steady demand for rentals in the area.
The median home value in ZIP 64111 is $270,489. While this figure alone does not indicate whether supply outpaces demand or vice versa, it provides a benchmark for homeownership costs. A relatively low DOM and a moderate price-cut share suggest that demand for homes might be keeping pace with supply, though the exact relationship would require further analysis of sales trends and inventory levels.
A significant 68.8% of the population in this ZIP code are renters. This high percentage of renters points to sustained long-term housing pressure, as a large portion of residents are likely seeking rental options due to affordability concerns or lifestyle preferences. In such an environment, landlords can expect ongoing interest in their properties, particularly if they offer competitive rents and attractive amenities.
The interplay between these metrics paints a picture of a market where rental demand is robust enough to keep the housing sector active. However, the fact that actual market rents are lower than the FMR indicates that there is sufficient supply to meet this demand without pushing prices above the fair market level. This balance could be beneficial for both landlords and small-portfolio investors, as it supports a stable rental income without the need for frequent price adjustments.
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.