Location: St. Joseph, MO | Metro: St. Joseph, MO-KS MSA
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 | $890 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,470 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,150 | $128,276 | 0.9% | C |
| 3BR | $1,470 | $203,710 | 0.72% | D |
| 4BR | $1,700 | $245,533 | 0.69% | D |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 64503, which encompasses Saint Joseph, Missouri, and parts of Buchanan County, revolve around the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment. For fiscal year 2024, the SAFMR for a two-bedroom unit is set at $1070. This figure is specifically tailored for this ZIP code, ensuring it reflects the local housing market conditions accurately.
In contrast, the local market rent for a similar two-bedroom unit, according to the Census ACS (American Community Survey), stands at $886. This difference between the SAFMR and the actual market rent is a critical point for landlords to understand when considering participation in the Section 8 program.
A voucher payment under Section 8 is calculated based on the SAFMR, the local market rent, and the tenant's portion of the rent. Typically, the tenant is required to pay 30% of their adjusted income towards the rent. If we assume an average adjusted income of $1800 for a household in this area, the tenant would contribute approximately $540 toward the rent. The remaining amount is subsidized by the government up to the SAFMR limit of $1070.
Utility allowances can vary but generally add a few hundred dollars to the total reimbursement. In ZIP 64503, the allowance might be around $200 per month, depending on the specifics of the case. Therefore, the total reimbursement a landlord could expect from a voucher holder for a two-bedroom apartment would be the sum of the tenant's contribution and the utility allowance, capped at the SAFMR of $1070.
To illustrate, if the local market rent is $886 and the tenant contributes $540, the government would cover the remaining $346, plus an additional $200 for utilities, bringing the total reimbursement to $846. However, since the SAFMR is $1070, the landlord would receive the full market rent of $886 plus the utility allowance, totaling $1086. But because the reimbursement cannot exceed the SAFMR, the landlord would receive $1070.
This scenario leaves a surplus for the landlord, as the SAFMR exceeds the local market rent. In ZIP 64503, the typical surplus for a two-bedroom unit would be $184 ($1070 - $886), providing a buffer against potential shortfalls and making participation in the Section 8 program financially viable for landlords.
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.