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 | $850 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,100 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,630 |
| 5 Bedrooms | $1,891 |
| 6 Bedrooms | $2,118 |
| 7 Bedrooms | $2,287 |
| 8 Bedrooms | $2,401 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,100 | $235,140 | 0.47% | F |
| 3BR | $1,410 | $273,783 | 0.52% | F |
| 4BR | $1,630 | $372,889 | 0.44% | F |
| 5BR | $1,891 | $431,438 | 0.44% | F |
U.S. Census Bureau data (2024)
ZIP code 64506, located in Saint Joseph, Missouri, falls within the St. Joseph, MO-KS Metropolitan Statistical Area (MSA). Comparatively, the Fair Market Rent (FMR) for ZIP 64506 is set at $980 for fiscal year 2024, which is notably lower than the average market rent of $1,083. This suggests that the area is more affordable for renters, especially those relying on government subsidies like Section 8.
The median home value in ZIP 64506 stands at $273,159, which is likely below the average home value in the broader St. Joseph, MO-KS MSA. Additionally, the rental share in this ZIP code is quite high at 39.2%. A high percentage of renters combined with below-average home values can indicate a strong presence of subsidized housing, making it a particularly attractive location for landlords participating in the Section 8 program.
In the context of the St. Joseph, MO-KS MSA, ZIP 64506 represents a value pocket. The lower FMR compared to the market rent, coupled with a significant portion of residents renting, makes it an area where landlords can offer affordable housing options while still maintaining a competitive position in the market. The below-average home values also suggest that this ZIP code is less expensive for potential homebuyers, which can attract a larger pool of tenants who prefer to rent rather than buy due to financial constraints or other considerations.
For small-portfolio investors, ZIP 64506 presents an opportunity to invest in properties that cater to the needs of low-income families and individuals. Given the high renter share and the relatively low cost of housing, this ZIP code could be considered a sweet spot for Section 8 participation. However, it's important to note that the success of such investments depends on the management of properties and compliance with HUD regulations.
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.