Location: Dallas County, MO | Metro: Springfield, MO HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $850 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,030 |
| 3 Bedrooms | $1,420 |
| 4 Bedrooms | $1,690 |
| 5 Bedrooms | $1,960 |
| 6 Bedrooms | $2,195 |
| 7 Bedrooms | $2,371 |
| 8 Bedrooms | $2,490 |
U.S. Census Bureau data (2024)
The rent math in ZIP code 65644, located in the HUD Metro FMR Area of Dallas County, MO, does not align perfectly with the financial goals of landlords and small-portfolio investors. The Fair Market Rent (FMR) set at $840 for the fiscal year 2024 is higher than the current market rent of $756 based on Census ACS data. This discrepancy suggests that while landlords can aim for the higher FMR rate, the market may not support it fully, leading to potential vacancies if rents are set too high.
Regarding the affordability of property acquisitions, the median home value stands at $274,383. However, the lack of data on days on market (DOM) and the percentage of homes requiring price cuts indicates an incomplete picture of the local real estate market dynamics. Without these specifics, it's challenging to gauge how quickly properties turn over and whether significant price adjustments are necessary to secure sales, which could impact the overall investment strategy.
Tenant demand in ZIP 65644 is modest given its small population size of 2,059 residents and a relatively low renter share of 9.5%. This means that only about 195 individuals in the area are likely seeking rental housing. While this might be manageable for small-portfolio investors, it underscores the importance of targeting properties that meet the needs of this niche market to ensure consistent occupancy.
In conclusion, ZIP 65644 presents a scenario where landlords must carefully balance their rental pricing between the higher FMR target and the actual market conditions. Acquisition costs are defined but require further investigation into market liquidity and competitiveness. Tenant demand is limited, necessitating a strategic approach to property selection and management to maintain occupancy levels and profitability. For those willing to navigate these nuances, opportunities exist, but they should proceed with a thorough understanding of the local market constraints.
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.