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 | $1,370 |
| 1 Bedroom | $1,450 |
| 2 Bedrooms | $1,640 |
| 3 Bedrooms | $2,110 |
| 4 Bedrooms | $2,410 |
| 5 Bedrooms | $2,796 |
| 6 Bedrooms | $3,132 |
| 7 Bedrooms | $3,383 |
| 8 Bedrooms | $3,552 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,640 | $108,009 | 1.52% | A+ |
| 3BR | $2,110 | $166,731 | 1.27% | A |
| 4BR | $2,410 | $198,732 | 1.21% | A |
| 5BR | $2,796 | $226,511 | 1.23% | A |
U.S. Census Bureau data (2024)
ZIP code 60409, located in Calumet City, IL, falls within the broader Chicago-Joliet-Naperville, IL HUD Metro FMR Area. The Fair Market Rent (FMR) for ZIP 60409 in fiscal year 2024 is set at $1,410. This figure represents the threshold above which housing is considered unaffordable for low-income renters, particularly those eligible for Section 8 assistance.
The market rent for ZIP 60409 stands at $1,702, indicating that the actual rental prices are higher than the FMR. This suggests that landlords in this area can charge more than the subsidized rate, potentially making it less attractive for Section 8 tenants unless there are significant subsidies available.
The median home value in ZIP 60409 is listed at $150,629. This is notably lower than the average home values in many parts of the Chicago-Joliet-Naperville metro area, where property costs tend to be higher due to urban density and desirability factors.
The renter share in ZIP 60409 is 44.3%, which is a substantial portion of the population. In comparison to typical ZIP codes within the Chicago-Joliet-Naperville metro, which often have lower renter shares, this could suggest that 60409 is a more affordable area with a larger pool of potential Section 8 tenants.
Given the lower FMR and home values compared to the rest of the metro area, coupled with a relatively high renter share, ZIP 60409 appears to be a value pocket within its larger metro context. This means that it offers a good balance between affordability for tenants and potentially lower acquisition costs for landlords or investors looking to expand their portfolios. However, the higher market rent indicates that landlords might still achieve decent cash flows, even if they accept Section 8 tenants at the FMR rate.
A divergence worth noting is the combination of a high renter share with below-average home values. This characteristic often points to an area that could be particularly appealing for Section 8 tenants and investors seeking to capitalize on government-assisted housing programs. Landlords should consider the potential for higher occupancy rates and the benefits of serving a stable tenant base when evaluating properties in this ZIP code.
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.