Location: Chicago-Joliet-Naperville, IL | Metro: Chicago-Joliet-Naperville, IL HUD Metro FMR Area
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 | $2,520 |
| 1 Bedroom | $2,670 |
| 2 Bedrooms | $3,020 |
| 3 Bedrooms | $3,880 |
| 4 Bedrooms | $4,440 |
| 5 Bedrooms | $5,150 |
| 6 Bedrooms | $5,768 |
| 7 Bedrooms | $6,229 |
| 8 Bedrooms | $6,540 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,020 | $452,070 | 0.67% | D |
| 3BR | $3,880 | $635,287 | 0.61% | D |
| 4BR | $4,440 | $852,647 | 0.52% | F |
| 5BR | $5,150 | $1,154,246 | 0.45% | F |
U.S. Census Bureau data (2024)
ZIP code 60069 is located in Lincolnshire, Illinois, a suburban area known for its affluent lifestyle and high-end residential properties. The neighborhood has a total population of 8,502 residents, with 20.3% being renters. This indicates a predominantly owner-occupied community, suggesting that the local rental market is relatively small but highly sought after. The median household income in this area stands at a robust $162,826, reflecting the financial stability of its inhabitants. Furthermore, the median home value is $675,049, which underscores the premium nature of the housing stock.
From an investment perspective, the Federal Market Rent (FMR) for ZIP 60069 in fiscal year 2024 is set at $2,570. This figure represents the maximum amount that a landlord can charge for a Section 8 voucher tenant. In contrast, the average market rent for the area, according to the Census Bureau's American Community Survey (ACS), is $2,756. This suggests that landlords participating in the Section 8 program would receive slightly less than the market rate, although the gap is modest. The FMR is designed to ensure affordability while still allowing landlords to cover their costs and make a reasonable profit.
The decision to invest in ZIP 60069 depends largely on the type of investor. For hands-off operators looking for stable cash flow with minimal management overhead, this ZIP code offers a reliable, albeit modest, return. The high median income and home values indicate a low risk of default, making it a secure choice for those who prefer passive income streams. However, for hands-on value-add buyers seeking to maximize returns through property improvements and strategic management, the opportunity may be limited due to the already high-quality housing stock and the narrow margin between FMR and market rents.
In summary, ZIP 60069 presents a niche investment opportunity for Section 8 landlords. The area is characterized by high incomes and home values, ensuring a stable tenant pool. While the difference between FMR ($2,570) and market rent ($2,756) is small, the overall economic health of the neighborhood supports a hands-off approach for steady, dependable income. For those looking to actively manage and improve properties, other ZIP codes with greater potential for value appreciation might offer better opportunities.
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.