Location: Kankakee, 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 | $1,330 |
| 1 Bedroom | $1,410 |
| 2 Bedrooms | $1,590 |
| 3 Bedrooms | $2,040 |
| 4 Bedrooms | $2,330 |
| 5 Bedrooms | $2,703 |
| 6 Bedrooms | $3,027 |
| 7 Bedrooms | $3,269 |
| 8 Bedrooms | $3,432 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,590 | $227,571 | 0.7% | D |
| 3BR | $2,040 | $307,814 | 0.66% | D |
| 4BR | $2,330 | $372,716 | 0.63% | D |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors targeting ZIP code 60401 in Beecher, Illinois, reveals a favorable cashflow scenario for those who can secure units at the Federal Market Rent (FMR) set by HUD at $1,400 for fiscal year 2024. This FMR figure significantly exceeds the average market rent reported by the Census Bureau's American Community Survey (ACS), which stands at $1,095. The disparity between these two figures means that landlords and small-portfolio investors can expect strong positive cashflow when renting to voucher tenants at the HUD-specified rate.
To further illustrate the financial advantage, consider the median home value in ZIP 60401, which is $310,207. This places the rent-to-price ratio at approximately 0.45%, indicating that rental income constitutes a very small portion of the overall property value. However, this ratio is less relevant for cashflow-focused investors since the primary concern is the monthly rent received rather than the potential resale value of the property.
In terms of the broader real estate market, the data shows a median Days on Market (DOM) and a percentage of homes that experience price cuts before selling as not applicable (N/A). While these metrics are typically important for understanding the buy-versus-rent dynamics, they are less critical for Section 8 investors who are primarily concerned with stable, long-term rental income rather than short-term property sales.
The strongest angle for investors in ZIP 60401 remains cashflow. Given the high FMR compared to the local market rent, landlords can achieve significant positive cashflow, especially considering the low risk associated with tenant turnover and the steady demand for affordable housing in the area.
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.