Section 8 Fair Market Rent (FMR) for ZIP 60605 - 2027

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

Investment Score for ZIP 60605

Monthly Rent (2BR)

$3,020

Median Price (2BR)

$444,238

1% Rule

0.68%

Annual Yield

8.16%

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	$2,520
1 Bedroom	$2,670
2 Bedrooms	$3,020
3 Bedrooms	$3,880
4 Bedrooms	$4,440
5 Bedrooms	$5,150
6 Bedrooms	$5,768
7 Bedrooms	$6,229
8 Bedrooms	$6,540

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	$2,670	$283,781	0.94%	C
2BR	$3,020	$444,238	0.68%	D
3BR	$3,880	$795,987	0.49%	F
4BR	$4,440	$1,146,536	0.39%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

36,210

Median Household Income

$123,922

Housing Units

21,126

Renter Percentage

57.7%

Occupancy Rate

92.9%

Renter Occupied

11,325

The ZIP code 60605 is located in Chicago, IL, and encompasses a vibrant and diverse neighborhood known for its proximity to downtown attractions, excellent public transportation, and a mix of residential and commercial properties. This area presents a compelling opportunity for real estate investors interested in the rental market, given its favorable financial metrics and strong tenant demand.

The Fair Market Rent (FMR) for a two-bedroom apartment in ZIP 60605 for fiscal year 2024 is set at $2,570.
The Zillow Observed Rent Index (ZORI) for the area indicates that the average market rent for a similar unit is $2,675.
The median home value in ZIP 60605 stands at $333,133, making it accessible for investors looking to enter the Chicago market without the prohibitive costs of more affluent areas.
Renters make up 57.7% of the population in this ZIP code, underscoring a strong demand for rental housing.
The days on market (DOM) for rental listings is relatively low at 39 days, indicating quick turnover and efficient management opportunities.
Average household income in the area is $123,922, providing assurance of a stable tenant base with the means to meet rental obligations.

Investors considering the rental market in ZIP 60605 can expect solid returns driven by competitive rental rates and a high concentration of renters. The relatively low DOM suggests that well-managed properties can achieve quick occupancy, while the median home value and income levels indicate a balance between affordability and economic stability. With these factors in mind, the area offers a promising investment climate for those seeking to capitalize on Chicago's robust rental market.

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.