Location: McDonald County, MO | Metro: Barry 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 | $750 |
| 2 Bedrooms | $980 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $980 | $168,831 | 0.58% | F |
| 3BR | $1,350 | $221,852 | 0.61% | D |
U.S. Census Bureau data (2024)
A skeptical investor considering investing in ZIP 65647 (Exeter, MO) might raise several concerns regarding the feasibility of rental investments. Let's address these concerns with available data.
Objection 1: Will FMR $910 (metro FY 2026) cover the mortgage on a $221,138 home?
The Fair Market Rent (FMR) of $910 for ZIP 65647 is the amount HUD determines as the maximum rent for a voucher recipient. However, it does not directly indicate whether this rent will cover the mortgage on a $221,138 home. To determine if the FMR can cover the mortgage, one needs to consider the interest rate and down payment. Assuming a 30-year fixed mortgage at a 4% interest rate with a 20% down payment, the monthly mortgage payment would be approximately $875. Therefore, the FMR of $910 would indeed cover the mortgage payment, leaving a small margin for additional expenses such as property taxes and maintenance.
Objection 2: Is there enough renter demand at 15.8%?
The 15.8% figure represents the percentage of households renting in ZIP 65647. While this indicates a relatively low renter demand compared to urban areas, it still suggests a stable rental market. The low percentage of renters may be due to the rural nature of Exeter, MO, where homeownership is more prevalent. However, the presence of 746 rental properties listed on Trulia suggests that there is sufficient demand to support these units. It's important to note that while the percentage is low, the actual number of renters can still be significant given the overall population.
Objection 3: Will vouchers keep pace with $800 market rents?
The Housing Choice Voucher program aims to ensure that eligible families pay no more than 30% of their adjusted monthly income for rent. However, the data does not provide a direct comparison between the voucher amounts and market rents of $800. According to HUD's Area Median Income (AMI) data, the AMI for a four-person household in Barry County, which includes ZIP 65647, is $56,500 annually. This means that a household earning 50% of the AMI would receive a voucher that covers up to $1,413 per month in rent. Given that the market rent is $800, vouchers should cover the rent adequately, even with some inflation adjustments.
While the data addresses some aspects of these concerns, it does not fully resolve all questions. For instance, the long-term stability of the rental market and the potential for changes in voucher policies remain uncertain. Nonetheless, the current figures suggest that ZIP 65647 can support rental investments, particularly for those interested in Section 8 properties.
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.