Location: McDonald County, MO | Metro: McDonald County, MO
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,330 |
| 4 Bedrooms | $1,540 |
| 5 Bedrooms | $1,786 |
| 6 Bedrooms | $2,000 |
| 7 Bedrooms | $2,160 |
| 8 Bedrooms | $2,268 |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 65730 are straightforward. The SAFMR (Standard Area Fair Market Rent) for a two-bedroom apartment in this specific ZIP code for fiscal year 2026 is set at $900. This figure represents the maximum amount that the Housing Choice Voucher program will pay towards rent for a two-bedroom unit in this area.
While the local market rent is currently unavailable, the SAFMR serves as a benchmark for landlords participating in the Section 8 program. It's important to note that the actual reimbursement to landlords is not solely based on the SAFMR but also includes the tenant's contribution and any utility allowances.
Tenants are typically required to pay 30% of their adjusted income toward rent. For instance, if a tenant has an adjusted income of $1,500 per month, they would contribute $450 toward the rent. The remaining balance, up to the SAFMR limit, is then paid by the Section 8 program. In the case of a two-bedroom apartment in ZIP 65730, the voucher would cover the difference between the tenant's payment and the SAFMR, which is $900.
In addition to the base rent, the Section 8 program also provides utility allowances. These allowances vary depending on the size of the unit and the location. However, since the exact allowance for ZIP 65730 is not specified, it's best to consult the local housing authority for precise figures. Utility allowances can range from $100 to $200 per month, further reducing the financial burden on tenants.
To illustrate, if a tenant pays $450 and the utility allowance is $150, the total contribution from the tenant and the utility allowance is $600. Therefore, the Section 8 program would reimburse the landlord with the remaining $300 to reach the SAFMR of $900. This calculation ensures that landlords receive a predictable and stable income from Section 8 vouchers.
The typical reimbursement gap or surplus for a two-bedroom apartment in ZIP 65730 is determined by comparing the SAFMR to the actual rent charged. If the market rent is higher than $900, landlords face a gap where they must either absorb the cost difference or seek additional sources of funding. Conversely, if the market rent is lower than $900, landlords receive a surplus, meaning they get more than the standard market rate for their property.
Landlords should be aware that participating in the Section 8 program requires adherence to certain regulations and standards, including maintaining the property to HUD (Department of Housing and Urban Development) specifications. The program offers a steady stream of rental income, albeit at a fixed rate, which can be beneficial in volatile real estate markets.
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.