Section 8 Fair Market Rent (FMR) for ZIP 65248 - 2027

Location: Howard County, MO | Metro: Howard County, MO HUD Metro FMR Area

Investment Score for ZIP 65248

D
Monthly Rent (2BR)
$1,020
Median Price (2BR)
$160,823
1% Rule
0.63%
Annual Yield
7.61%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$710
1 Bedroom$780
2 Bedrooms$1,020
3 Bedrooms$1,220
4 Bedrooms$1,580
5 Bedrooms$1,833
6 Bedrooms$2,053
7 Bedrooms$2,217
8 Bedrooms$2,328

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,020 $160,823 0.63% D
3BR $1,220 $245,436 0.5% F
4BR $1,580 $312,777 0.51% F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
4,480
Median Household Income
$53,125
Housing Units
1,784
Renter Percentage
30.7%
Occupancy Rate
80.3%
Renter Occupied
439

ZIP code 65248, located in Fayette, Missouri, is positioned within the Howard County, MO HUD Metro FMR Area. The Fair Market Rent (FMR) for ZIP 65248 is set at $960 for fiscal year 2024, which is slightly higher than the market rent of $909. This indicates that the area has a modest premium over actual market rates, potentially due to government subsidies.

The median home value in ZIP 65248 is $231,826, which is likely indicative of the overall housing cost in the area. Given the FMR and market rent figures, it can be inferred that 65248 is not a premium sub-market but rather a mid-tier neighborhood within the Howard County HUD Metro FMR Area. The FMR is designed to reflect what is considered a fair rent for the area, adjusted for government assistance, and it is only marginally above the market rent.

The renter share in ZIP 65248 is 30.7%, which is relatively high compared to typical ZIP codes in the area. However, the home value is not significantly lower than the average for the county, suggesting that while there is a notable percentage of renters, the overall property values remain stable. This combination of a high renter share and a moderate home value does not necessarily indicate a "value pocket" for Section 8 properties, but it does highlight an area where rental demand is strong.

To determine if 65248 is a particularly attractive area for Section 8 properties, further analysis would be needed on the typical home values and renter shares across other ZIP codes in the Howard County HUD Metro FMR Area. However, based on the provided data, the area appears to be a solid mid-tier option for landlords and small-portfolio investors looking to participate in the Section 8 program.

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.