Tower Grove South
Desirable, stable rentals with appreciation upside.
St. Louis, MO
Is St. Louis a good place to buy rental property in 2026?
Market context: the published median cap rate is above the national reference. St. Louis's median cap rate runs about 8.5% (St. Louis metro median), with a broad rent benchmark of $1,218–$1,568/mo and a Missouri effective property-tax benchmark near 0.98%. These figures do not establish a specific property's economics.
St. Louis is a dependable cash-flow market with low prices, brick-built housing stock, and rent ratios that still clear the screening thresholds many coastal markets can't.
St. Louis market snapshot
Higher median cap rateThe published median cap rate is above the national reference. This benchmark does not establish address-level cash flow or future price growth.
Typical cap rate
8.5%
St. Louis metro median
Typical rent
$1,218–$1,568/mo
HUD FMR · 2–3BR · 2026
Typical price
$120,000–$210,000
est., all-in
Property tax
0.98%
Missouri effective
Rent is HUD Fair Market Rent where available, otherwise a market estimate; price is a market estimate. Cap-rate and tax are screening defaults — enter a specific address for editable property-screening estimates and verify them independently.
Sources & methodology. These are screening defaults and market estimates — not an appraisal, and not financial, tax, or legal advice. Verify rents, taxes, insurance, and local landlord/tenant law against the county assessor and your state's landlord-tenant statute before relying on them.
Data: HUD Fair Market Rent · FRED 30-yr mortgage rate · Tax Foundation (property tax) · Updated July 2026
Metro-level estimates — precision is lower at the neighborhood and parcel level; pull a specific address for editable property-screening estimates. Reviewed by the TrueCap team. See our full methodology.
What rents actually look like in St. Louis
One number never tells the story — HUD publishes ZIP-level Small Area Fair Market Rents for the St. Louis, MO-IL metro area, the metro-wide FMR region that includes St. Louis, and the spread across its ZIP codes is where deals are won or lost. Same purchase price, different ZIP, very different rent.
| ZIP code | 2BR rent | 3BR rent |
|---|---|---|
| 62225 | $1,830/mo | $2,360/mo |
| 63101 | $1,460/mo | $1,880/mo |
| 63104 | $1,330/mo | $1,710/mo |
| 62355 | $1,260/mo | $1,560/mo |
| 62202 | $1,190/mo | $1,530/mo |
| 63343 | $1,150/mo | $1,480/mo |
| 63065 | $1,100/mo | $1,420/mo |
| 62239 | $1,060/mo | $1,360/mo |
| 63020 | $1,010/mo | $1,300/mo |
| 62074 | $990/mo | $1,270/mo |
| 63056 | $990/mo | $1,270/mo |
| 65453 | $990/mo | $1,270/mo |
Showing 12 of 268 ZIP codes in the St. Louis, MO-IL metro area — the HUD FMR region that includes St. Louis — sampled highest to lowest across the rent range. Source: HUD FY2026 Small Area Fair Market Rents. TrueCap auto-fills the exact ZIP-level figure when you enter a St. Louis address.
Why St. Louis works for rental investors
Affordable entry plus durable brick construction lowers long-run capex risk. A good first-market for buy-and-hold investors who want yield without deep rehab exposure.
See the full Missouri investing guide — taxes, landlord law & top metros →
Neighborhoods to look at in St. Louis
Dutchtown
High cash flow, value-add, more hands-on management.
Affton (county)
Owner-occupant-grade SFRs, low vacancy, easy to manage.
Neighborhood notes are starting points, not recommendations — always underwrite the specific property.
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