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 | $2,040 |
| 1 Bedroom | $2,160 |
| 2 Bedrooms | $2,440 |
| 3 Bedrooms | $3,140 |
| 4 Bedrooms | $3,580 |
| 5 Bedrooms | $4,153 |
| 6 Bedrooms | $4,651 |
| 7 Bedrooms | $5,023 |
| 8 Bedrooms | $5,274 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $2,440 | $331,076 | 0.74% | D |
| 3BR | $3,140 | $377,436 | 0.83% | C |
| 4BR | $3,580 | $436,431 | 0.82% | C |
| 5BR | $4,153 | $492,150 | 0.84% | C |
U.S. Census Bureau data (2024)
ZIP code 60154 is located in Westchester, Illinois, a suburban community known for its affluent living conditions and excellent school systems. With a total population of 16,436, only 9.2% of residents are renters, indicating a predominantly owner-occupied area. The median household income in this ZIP code is a robust $98,954, reflecting the high standard of living enjoyed by its residents. Median home values stand at $357,109, suggesting that homeownership is both desirable and attainable for those who can afford it.
The rental market in Westchester is characterized by Federal Market Rent (FMR) figures set at $2,090 for the fiscal year 2024, compared to the actual market rent of $1,794 based on Census ACS data. This discrepancy highlights the potential for higher rents among subsidized housing units, which could be particularly appealing to investors looking to capitalize on the difference between FMR and market rates.
Given these economic indicators, ZIP 60154 is well-suited for both hands-off voucher operators and hands-on value-add buyers. For hands-off operators, the area's low percentage of renters and high FMR suggest a stable environment where Section 8 tenants can easily find housing within their budget. On the other hand, value-add buyers might find opportunities to renovate properties and charge closer to the FMR, thereby increasing their rental income while still being attractive to voucher holders. The affluent nature of the neighborhood and the relatively high median income provide a solid foundation for such investments, ensuring demand and stability.
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.