Location: Taney County, MO | Metro: Taney 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 | $880 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,160 |
| 3 Bedrooms | $1,480 |
| 4 Bedrooms | $1,630 |
| 5 Bedrooms | $1,891 |
| 6 Bedrooms | $2,118 |
| 7 Bedrooms | $2,287 |
| 8 Bedrooms | $2,401 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,160 | $141,189 | 0.82% | C |
| 3BR | $1,480 | $193,699 | 0.76% | D |
U.S. Census Bureau data (2024)
The potential risks for landlords investing in Section 8 properties in ZIP code 65740, Merriam Woods Village, MO, include significant tenant turnover due to the disparity between the market rent of $926 and the Fair Market Rent (FMR) of $1,080 for fiscal year 2026 in the metro area. This difference can lead to dissatisfaction among tenants who might prefer to seek higher-quality housing outside the program. Additionally, there is a notable exposure to vacancy rates because the days on market (DOM) for vacant homes is not available, indicating uncertainty about how quickly units can be filled. The typical home value of $182,865 contrasts sharply with the median income of $57,390, which suggests that many residents may struggle to afford maintenance costs, potentially leading to deferred maintenance issues.
However, these risks are somewhat mitigated by the high proportion of renters in the area, which stands at 22.5%. High renter density typically translates into a robust demand for rental vouchers, which can stabilize occupancy rates and ensure steady cash flow. The presence of a large number of renters also indicates a strong reliance on rental housing, which can be beneficial for landlords participating in the Section 8 program.
In conclusion, despite the challenges posed by tenant turnover, vacancy exposure, and deferred maintenance, the high renter share in ZIP 65740 provides a buffer against some of these risks. Therefore, the overall risk for a first-time Section 8 landlord in this area is moderate.
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.