Location: Barry County, MO | Metro: Barry County, MO
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,440 |
| 5 Bedrooms | $1,670 |
| 6 Bedrooms | $1,870 |
| 7 Bedrooms | $2,020 |
| 8 Bedrooms | $2,121 |
U.S. Census Bureau data (2024)
The analysis for ZIP 64874 reveals a significant gap between the Fair Market Rent (FMR) set by the government and the actual market rent. According to the data, the FMR for the metro area in fiscal year 2026 is $890, while the Census ACS reports the market rent at $473. This means there is a gap of $417, or approximately 88.4%, between the two figures.
The disparity between the FMR and the market rent makes ZIP 64874 a prime location for a yield play. Landlords and small-portfolio investors can leverage this gap to maximize their returns. Since the FMR exceeds the market rent, voucher tenants effectively subsidize the rent to a level higher than what the market would otherwise bear. This subsidy can help cover the operational costs of maintaining rental properties, such as repairs, utilities, and property management, thereby increasing the overall yield on investment.
The context of ZIP 64874 further supports this analysis. With 34.9% of residents being renters and a median household income of $38,906, the area has a substantial population that relies on affordable housing options. The median home value is not available, indicating that homeownership might be less prevalent or priced beyond the average resident's reach, which increases the demand for rental properties.
However, it's important to note that accepting voucher tenants also comes with its own set of challenges. Landlords must ensure that their properties meet the Housing Quality Standards (HQS) required by the program, which can necessitate additional investments in property maintenance and upgrades. Despite these costs, the financial support provided by the government through the Section 8 program can still result in a positive cash flow for landlords.
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.