Location: Saline County, MO | Metro: Kansas City, MO-KS HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $810 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,230 |
| 4 Bedrooms | $1,420 |
| 5 Bedrooms | $1,647 |
| 6 Bedrooms | $1,845 |
| 7 Bedrooms | $1,993 |
| 8 Bedrooms | $2,093 |
U.S. Census Bureau data (2024)
The analysis of Section 8 real estate in ZIP code 65351 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for ZIP 65351 is set at $1050 for fiscal year 2024, while the market rent is estimated at $650 according to Census ACS data. This represents a gap of $400, or approximately 66.7%, between what landlords can charge voucher tenants and the prevailing market rate.
This discrepancy makes it clear that voucher tenants do not provide a yield play for landlords. Instead, landlords who accept Section 8 tenants in ZIP 65351 will be renting their properties below the open-market rates, effectively subsidizing the difference. Given the context of 24.2% of renters in the area, the median home value of $171,242, and the median income of $55,625, the decision to rent to voucher holders must be made carefully.
Accepting Section 8 tenants means landlords should expect lower immediate returns but potentially higher stability and occupancy rates. The financial impact of this decision is substantial, with landlords receiving only 61.9% of the FMR as determined by HUD. Therefore, landlords and small-portfolio investors need to consider how accepting Section 8 tenants aligns with their long-term investment goals and whether the benefits outweigh the reduced rental income.
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.