Location: Lawrence County, MO | Metro: Lawrence 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 | $710 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,270 |
| 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: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $960 | $146,850 | 0.65% | D |
| 3BR | $1,270 | $245,999 | 0.52% | F |
| 4BR | $1,480 | $319,504 | 0.46% | F |
U.S. Census Bureau data (2024)
ZIP 65712 (Mount Vernon, MO, Lawrence County, MO metro) can serve as a cash-flow anchor in a Section 8 portfolio strategy. The Federal Market Rent (FMR) for the metro area in fiscal year 2026 is $890, while the market rent stands at $674, creating a significant spread of $216 per month. This difference ensures that landlords receive higher rental payments through Section 8 vouchers compared to the local market rates, thus providing a reliable cash flow.
The median home value in Mount Vernon is $229,332, indicating that it is a relatively affordable market. Although the price-cut share is 0.2%, suggesting some level of negotiation in property sales, the day-on-market (DOM) data is not applicable here. This implies that properties in Mount Vernon are generally selling without prolonged exposure, which can be beneficial for landlords looking to maintain a steady occupancy rate.
Maintaining a cash-flow anchor in a portfolio is crucial for stabilizing returns and ensuring financial security. Mount Vernon offers a solid opportunity for landlords to secure higher rental incomes due to the disparity between FMR and market rent. This makes it an attractive option for small-portfolio investors seeking consistent cash flow.
While Mount Vernon could potentially serve as an appreciation play or a diversifier, given the limited appreciation potential (0.2% price-cut share) and the moderate renter share (25.5%), the primary role it plays in a Section 8 portfolio is that of a cash-flow anchor. The median income of $69,304 supports the viability of Section 8 housing in the area, ensuring that tenants can afford their portion of the rent.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.