Location: Grundy County, 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 | $2,340 |
| 5 Bedrooms | $2,714 |
| 6 Bedrooms | $3,040 |
| 7 Bedrooms | $3,283 |
| 8 Bedrooms | $3,447 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,590 | $225,722 | 0.7% | D |
| 3BR | $2,040 | $291,262 | 0.7% | D |
| 4BR | $2,340 | $343,994 | 0.68% | D |
U.S. Census Bureau data (2024)
ZIP code 60408, located in Braidwood, IL, falls within the Grundy County, IL HUD Metro FMR Area. The Fair Market Rent (FMR) for ZIP 60408 in fiscal year 2024 is set at $1,490. This figure is higher than the market rent of $1,051, indicating that the government's estimate of rental affordability exceeds what the local market typically charges.
The median home value in ZIP 60408 is $272,579, which is a critical metric for landlords and small-portfolio investors considering property investments. Additionally, the renter share of the population in this ZIP code is 14.1%.
To understand where ZIP 60408 stands within the Grundy County, IL HUD Metro FMR Area, we must compare these figures against typical ZIP codes in the county. The discrepancy between the FMR and the actual market rent suggests that ZIP 60408 could be seen as a value pocket for potential tenants looking for affordable housing options. However, the relatively low renter share implies that it is not a highly sought-after area for renters, which might indicate lower demand for rental properties.
The median home value of $272,579 can be considered moderate within the context of the metro area. It is neither excessively high nor low, placing ZIP 60408 in a mid-tier category among similar ZIP codes. This balance in home values could mean that while the area is not particularly expensive, it also doesn't offer the lowest cost of living compared to other ZIPs in the county.
A notable point of interest is the high renter share combined with below-average home values, which can sometimes signal an attractive area for Section 8 investments. However, since the renter share is only 14.1%, this particular ZIP code does not exhibit the characteristics of a Section 8 sweet spot. Landlords should consider the higher FMR as an opportunity to potentially increase rents without exceeding the government's affordability threshold, but they must also be mindful of the local market conditions and the actual rent charged.
In summary, ZIP 60408 presents itself as a mid-tier neighborhood within the Grundy County, IL HUD Metro FMR Area, with a slight inclination towards being a value pocket due to the disparity between FMR and market rent. While there isn't a strong indication of it being a prime location for Section 8 investments based on the renter share alone, the combination of factors makes it a stable choice for real estate investment, especially for those interested in balancing affordability with reasonable returns.
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.