Section 8 Fair Market Rent (FMR) for ZIP 60438 - 2027

Location: Chicago-Joliet-Naperville, IL | Metro: Chicago-Joliet-Naperville, IL HUD Metro FMR Area

Investment Score for ZIP 60438

A
Monthly Rent (2BR)
$1,780
Median Price (2BR)
$142,541
1% Rule
1.25%
Annual Yield
14.99%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$1,490
1 Bedroom$1,580
2 Bedrooms$1,780
3 Bedrooms$2,290
4 Bedrooms$2,610
5 Bedrooms$3,028
6 Bedrooms$3,391
7 Bedrooms$3,662
8 Bedrooms$3,845

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
1BR $1,580 $89,597 1.76% A+
2BR $1,780 $142,541 1.25% A
3BR $2,290 $211,130 1.08% B
4BR $2,610 $263,162 0.99% C
5BR $3,028 $292,822 1.03% B

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
28,806
Median Household Income
$75,681
Housing Units
12,202
Renter Percentage
27.7%
Occupancy Rate
93.7%
Renter Occupied
3,172

The ZIP code 60438, located in Lansing, IL, has a population of 28,806 individuals. With 27.7% of the residents being renters, it indicates a moderate rental market presence. The median household income stands at $75,681, which is a key figure when considering the financial stability of potential tenants.

The typical market rent in this area is $1,499 per month. This represents approximately 19.8% of the median household income, calculated by dividing the monthly rent by the annual income ($1,499 / $75,681 * 12). This percentage suggests that the rent is relatively affordable for the average household, though it still consumes a significant portion of their income.

The Fair Market Rent (FMR) for ZIP 60438 as of FY 2024 is set at $1,480, which closely aligns with the market rent of $1,499. This indicates that the rental market is in line with government standards, making it feasible for Section 8 voucher holders to find suitable housing without facing substantial gaps between voucher amounts and actual rents.

A landlord in ZIP 60438 can expect a tenant profile that includes a mix of low-income families and individuals who rely on Section 8 vouchers. Given the rental rate as a percentage of income, these tenants are likely to be financially cautious and seek stable living conditions. It's important for landlords to understand the administrative requirements associated with Section 8, including regular inspections and documentation, to ensure compliance and maintain a positive relationship with their tenants.

To summarize, while ZIP 60438 is not heavily dominated by renters, there is a sufficient number of Section 8 voucher holders to create a viable tenant pool. The close alignment between market rents and the FMR suggests that the area is well-suited for those utilizing housing assistance programs, and landlords can expect tenants who value affordability 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.