Location: Camden County, MO | Metro: Benton County, MO
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 | $770 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,620 |
| 5 Bedrooms | $1,879 |
| 6 Bedrooms | $2,104 |
| 7 Bedrooms | $2,272 |
| 8 Bedrooms | $2,386 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,050 | $259,301 | 0.4% | F |
| 3BR | $1,450 | $378,502 | 0.38% | F |
| 4BR | $1,620 | $555,235 | 0.29% | F |
U.S. Census Bureau data (2024)
To understand the economics of Section 8 in ZIP 65324, which encompasses Climax Springs, Missouri, in Camden County, it's essential to know the specifics of the housing market and the federal guidelines governing the program. For fiscal year 2026, the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code is set at $960. This figure represents the maximum amount the government will pay towards a tenant's rent under the Section 8 Housing Choice Voucher program.
The SAFMR is tailored to reflect the rental market conditions in this specific ZIP code, ensuring that the subsidy matches the local cost of living. However, the local market rent data for ZIP 65324 is currently unavailable, which means we must rely on the SAFMR as our benchmark for the analysis.
A landlord participating in the Section 8 program receives reimbursement based on the SAFMR, but the total payment also includes the tenant's contribution and any utility allowances. Typically, the tenant is responsible for paying approximately 30% of their adjusted income towards rent. If we assume an average adjusted income of $1,500 for a household in this area, the tenant would contribute about $450 towards the rent.
In addition to the tenant's share, there might be a utility allowance included in the voucher, which can vary depending on the household's needs and the region's average costs. For simplicity, let's assume an average utility allowance of $200. This brings the total reimbursement a landlord can expect to receive for a two-bedroom unit to $650 ($450 from the tenant + $200 for utilities).
Given the SAFMR of $960, this leaves a significant gap between the market rent and the reimbursement received. The difference, or reimbursement gap, for a two-bedroom unit in ZIP 65324 would be $310 per month ($960 - $650). This means landlords must ensure their rental properties are priced competitively within the $960 limit to participate effectively in the Section 8 program while still covering their expenses and earning a profit.
In summary, landlords in ZIP 65324 should anticipate a reimbursement of $650 for a two-bedroom apartment when a tenant uses a Section 8 voucher, resulting in a $310 reimbursement gap. This economic reality requires careful consideration of property management costs, including maintenance, insurance, and property taxes, to ensure profitability within the constraints of the 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.