Location: Harrison County, MO | Metro: Gentry 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 | $710 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,610 |
| 5 Bedrooms | $1,868 |
| 6 Bedrooms | $2,092 |
| 7 Bedrooms | $2,259 |
| 8 Bedrooms | $2,372 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $960 | $102,237 | 0.94% | C |
| 3BR | $1,330 | $158,367 | 0.84% | C |
| 4BR | $1,610 | $159,159 | 1.01% | B |
U.S. Census Bureau data (2024)
The potential risks for a Section 8 landlord investing in ZIP code 64402 in Albany, MO, are significant. Firstly, tenant turnover is a critical issue. The market rent for properties in this area stands at $556, which is notably lower than the Fair Market Rent (FMR) of $890 for the fiscal year 2026. This disparity suggests that tenants might be attracted to higher-paying opportunities outside of the Section 8 program, leading to increased turnover.
Vacancy exposure is another concern. With the days on market (DOM) being listed as N/A, it's challenging to predict how long a property might remain vacant between tenancies. A prolonged vacancy period can lead to financial strain on the landlord, especially when considering the relatively low market rent.
The deferred maintenance exposure is also substantial. Properties in ZIP 64402 have an average value of $119,126, while the median household income is only $54,444. This income level may limit the ability of residents to afford necessary repairs and maintenance, potentially leaving landlords responsible for these costs. Given the low market rent, landlords may find it difficult to cover such expenses without additional financial support.
Despite these challenges, there are factors that mitigate the risks. The renter share in this area is 28.0%, indicating a high concentration of renters. High renter density typically correlates with greater demand for housing vouchers, which can provide a steady stream of tenants willing to pay the required portion of their income toward rent. This demand can stabilize the occupancy rate and reduce the likelihood of extended vacancy periods.
In conclusion, the risks associated with becoming a first-time Section 8 landlord in ZIP 64402 are moderate. While there are significant concerns regarding tenant turnover, vacancy exposure, and deferred maintenance, the high renter density offers a counterbalance that can help maintain stable occupancy and rental income.
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.