Location: Johnson County, MO | Metro: Henry County, MO
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,530 |
| 5 Bedrooms | $1,775 |
| 6 Bedrooms | $1,988 |
| 7 Bedrooms | $2,147 |
| 8 Bedrooms | $2,254 |
U.S. Census Bureau data (2024)
The economics of Section 8 housing in ZIP code 64733 are defined by the SAFMR (Small Area Fair Market Rent) set by HUD (Housing and Urban Development). For a two-bedroom apartment in this ZIP code, the SAFMR for fiscal year 2026 is $890. This is the maximum amount that HUD will reimburse landlords for renting out their properties under the Section 8 program.
In contrast, the local market rent for a two-bedroom unit in ZIP 64733 is reported at $732, based on the latest Census ACS data. This figure represents the average rent paid by tenants without subsidies in the area.
A landlord participating in the Section 8 program receives the difference between the tenant's contribution and the SAFMR. Tenants typically pay 30% of their adjusted income toward rent. If we assume an average adjusted income of $1,500 per month for a tenant in this area, their monthly rent contribution would be approximately $450. Additionally, there are utility allowances which vary but can range around $100-$150 per month. These allowances cover the cost of utilities, reducing the tenant's out-of-pocket expenses.
To illustrate, if a tenant's contribution is $450 and the utility allowance is $150, the total subsidy from HUD would be $890. Therefore, the landlord would receive $890 from HUD, covering both the rent and utilities. In this scenario, the landlord effectively receives the full SAFMR amount of $890.
However, the reimbursement gap or surplus emerges when comparing the SAFMR to the local market rent. Given that the SAFMR is $890 and the local market rent is $732, landlords participating in Section 8 could potentially see a surplus of up to $158 per month on a two-bedroom unit, assuming they charge the local market rent. This surplus is possible because the Section 8 reimbursement exceeds the typical rent in the area.
It's important to note that while the SAFMR provides a consistent maximum reimbursement rate for Section 8 vouchers in ZIP 64733, the actual reimbursement received by landlords depends on the individual tenant's income and any additional utility allowances. Landlords should ensure that their rents do not exceed the SAFMR to avoid disqualification from the program.
In summary, landlords in ZIP 64733 can expect a reimbursement rate of $890 for a two-bedroom apartment under the Section 8 program. With the local market rent at $732, there is a potential surplus of $158 per month, making participation in the Section 8 program financially viable for property owners in this area.
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.