Location: Rockford, 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 | $1,070 |
| 1 Bedroom | $1,180 |
| 2 Bedrooms | $1,510 |
| 3 Bedrooms | $2,050 |
| 4 Bedrooms | $2,350 |
| 5 Bedrooms | $2,726 |
| 6 Bedrooms | $3,053 |
| 7 Bedrooms | $3,297 |
| 8 Bedrooms | $3,462 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,510 | $254,280 | 0.59% | F |
| 3BR | $2,050 | $300,786 | 0.68% | D |
| 4BR | $2,350 | $363,039 | 0.65% | D |
U.S. Census Bureau data (2024)
The ZIP code 60135, located in Genoa, Illinois, presents an interesting scenario when viewed from the perspective of renters. The median household income in this area stands at $98,033. Considering the market rate for rent is $940, a household in this region can indeed afford the average rent without significant financial strain. However, the picture changes when we factor in the federal payment standard for housing vouchers, which is set at $1320 for fiscal year 2024.
This creates a notable affordability gap between what the typical household can pay out-of-pocket and what landlords might receive through housing vouchers. With only 24.0% of the population being renters and a total population of 7,274, the competition among landlords is likely to be moderate, but the availability of potential tenants who rely on housing vouchers could significantly impact rental strategies.
The discrepancy between the market rate and the voucher payment standard means that landlords could either attract a broader range of tenants willing to pay the market rate or opt for the guaranteed payments from the government through the voucher program. The latter, however, comes with the lower rent amount of $1320, which is higher than the market rate but still subsidized compared to what a tenant might pay privately.
For landlords considering their options, the decision hinges on whether they prioritize a stable income stream with less risk or aim to capture a larger share of the local market where households can afford higher rents. Given the median income and the relatively low market rent, there is a substantial opportunity to attract tenants who can pay more than the voucher standard, thereby maximizing revenue potential.
In summary, landlords in ZIP 60135 should weigh the benefits of accepting housing vouchers against the possibility of securing higher-paying tenants. The choice will depend on their risk tolerance and the dynamics of the local rental market.
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.