Location: Gasconade County, MO | Metro: Jefferson City, MO HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $740 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $980 |
| 3 Bedrooms | $1,360 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP code 65062 focuses on the discrepancy between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR stands at $870. However, the market rent data is currently unavailable, which complicates a direct comparison.
In the absence of market rent data, we must consider the implications of the FMR alone. The FMR is the maximum amount that the federal government will pay landlords who accept Section 8 tenants. Given that the FMR is set at $870, landlords can expect this to be the rent ceiling for voucher-assisted tenants.
The ZIP code 65062 has 0.0% of its population identified as renters, suggesting a predominantly owner-occupied area. This low rental percentage indicates a niche market for landlords and small-portfolio investors interested in Section 8 properties. The lack of data on median home value and median income further underscores the unique characteristics of this area, making it challenging to assess broader economic impacts on rental pricing.
Despite these limitations, if the FMR exceeds the market rent, then accepting Section 8 tenants becomes a yield play. Landlords would be guaranteed a fixed, government-backed rent payment that could potentially exceed what they might receive from non-subsidized tenants. This scenario transforms the property into an attractive investment, offering a stable cash flow and minimizing vacancy risks.
Conversely, if the market rent is higher than the FMR, landlords face the cost of housing voucher tenants below open-market rates. This situation reduces potential rental income and could affect the overall profitability of the property. Investors should carefully evaluate the long-term benefits of stable occupancy against the short-term loss of higher rental yields.
To conclude, the Section 8 landscape in ZIP 65062 is defined by the $870 FMR. Without specific market rent figures, the decision to participate in the program should be made with consideration of the local economic context and the particular needs of the landlord or investor. The 0.0% renter rate suggests a specialized market, requiring careful analysis of the financials and the broader implications of the housing subsidy program.
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.