Location: Pettis 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 | $740 |
| 1 Bedroom | $760 |
| 2 Bedrooms | $1,000 |
| 3 Bedrooms | $1,310 |
| 4 Bedrooms | $1,430 |
| 5 Bedrooms | $1,659 |
| 6 Bedrooms | $1,858 |
| 7 Bedrooms | $2,007 |
| 8 Bedrooms | $2,107 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,310 | $225,340 | 0.58% | F |
U.S. Census Bureau data (2024)
The potential pitfalls for a Section 8 landlord in ZIP code 65325 are significant. First, consider the disparity between the market rent of $681 and the Fair Market Rent (FMR) of $910 for fiscal year 2026 in the metropolitan area. This gap can lead to higher tenant turnover, as many voucher holders might find it difficult to cover the difference between the FMR and the actual market rent. High turnover rates are costly and time-consuming, often resulting in increased vacancy periods and maintenance expenses.
Vacancy exposure is another concern. With no data available on the number of days on market (DOM), it's challenging to predict how long properties might remain vacant. However, given the high renter share of 21.4%, there is likely a steady demand for rental units, which could mitigate some of the risk associated with prolonged vacancies. Yet, landlords must be prepared for the possibility of extended vacancy periods, especially if they are not well-versed in the intricacies of Section 8 tenancy.
The deferred-maintenance exposure is substantial, considering the typical home value of $217,655 and the median income of $53,942. These figures suggest that residents may struggle to afford significant repairs or upgrades out-of-pocket, even with the help of vouchers. Landlords should anticipate the need for regular maintenance and improvements, which can be financially draining without careful planning and budgeting.
Despite these challenges, the high renter density in ZIP 65325 presents an opportunity. The 21.4% renter share indicates a robust demand for rental properties, which typically translates into a higher demand for housing vouchers. This can be advantageous for landlords who are willing to navigate the complexities of Section 8 tenancy and are prepared to manage their properties effectively.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.