Section 8 Fair Market Rent (FMR) for ZIP 60615 - 2027

Investment Score for ZIP 60615

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	$2,040
1 Bedroom	$2,160
2 Bedrooms	$2,440
3 Bedrooms	$3,140
4 Bedrooms	$3,580
5 Bedrooms	$4,153
6 Bedrooms	$4,651
7 Bedrooms	$5,023
8 Bedrooms	$5,274

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)

Bedrooms	Monthly FMR	Median Price	1% Rule	Grade
1BR	$2,160	$142,764	1.51%	A+
2BR	$2,440	$208,138	1.17%	B
3BR	$3,140	$334,681	0.94%	C
4BR	$3,580	$544,796	0.66%	D
5BR	$4,153	$1,027,786	0.4%	F

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

### Market Analysis for ZIP Code 60615 (Chicago, IL) #### Section 8 Voucher Dynamics The Fair Market Rent (FMR) for ZIP code 60615, as set by HUD for 2026, is $2160 for a two-bedroom unit. This represents 40.6% of the median household income of $63,876 in the area. However, the actual median rent for a two-bedroom unit on Zillow is $206,193, which is significantly higher than the FMR. The price-to-FMR ratio is 8.0x, indicating that the actual market rent is much higher than the FMR. This discrepancy means that tenants using Section 8 vouchers face significant constraints. They can only afford units priced at or below the FMR, which is far less than what the market typically charges. For instance, a tenant with a voucher would have to find a two-bedroom unit for $2160 or less, while the average market price is around $206,193. This makes it challenging for voucher holders to secure housing in this area, as they must rely on landlords willing to accept lower rents. #### Affordability & Renter Profile ZIP code 60615 has a high renter population, with 67.8% of households being renters. The occupancy rate is 88.8%, suggesting that the rental market is relatively tight but not fully saturated. Given that the median household income is $63,876, and the FMR for a two-bedroom unit is $2160, it implies that the typical renter in this area is likely to be middle-income individuals or families who may struggle to afford market rates without assistance. The high renter percentage indicates a strong demand for rental properties, but the affordability issue is a critical factor. With the FMR being only 40.6% of the median income, many residents may need financial assistance to cover their rent. This tight market condition could lead to increased competition among renters, driving up the cost of housing beyond what the FMR covers. #### Investor Angle From an investor perspective, the ZIP code 60615 presents a mixed scenario. While the occupancy rate suggests a stable demand for rental units, the high price-to-FMR ratio poses challenges for cash flow. Investors focusing on Section 8 vouchers would need to ensure that their properties are priced at or below the FMR to attract tenants. Given the Zillow median price for a two-bedroom unit is $206,193 and the FMR is $2160, the potential for cash flow positive investments is limited unless investors can find properties priced below the market average. The investment grade would depend on factors such as property condition, location, and the willingness of landlords to accept lower rents. To illustrate, if an investor purchases a two-bedroom unit for $206,193 and rents it out at the FMR of $2160, the annual rental income would be $25,920. Assuming a conservative mortgage payment of $1000 per month (which is approximately half of the Zillow median price), the annual mortgage payment would be $12,000. After subtracting the mortgage payment, the net annual income would be $13,920, which is a positive cash flow. However, this assumes no other expenses, which is unrealistic. In reality, maintenance costs, property taxes, insurance, and other expenses would further reduce the net income. #### Specific Actionable Insights 1. **Focus on Lower-Rent Properties**: Investors should seek out properties priced below the market average to ensure they can rent them out at the FMR. For example, finding a two-bedroom unit for under $150,000 would make it easier to achieve positive cash flow when renting at $2160 per month. 2. **Consider Multi-Family Units**: Given the high renter percentage and the tight market, multi-family units might offer better opportunities. A three-bedroom unit with an FMR of $2780 could potentially house multiple tenants, increasing the overall rental income and making it more feasible to meet the mortgage and other expenses. 3. **Engage with Local Programs**: Investors could explore local programs that provide additional subsidies or incentives for landlords who accept Section 8 vouchers. This could help offset the lower rents and improve profitability. #### Bottom Line For Section 8-focused investors, ZIP code 60615 presents a challenging environment due to the high price-to-FMR ratio. While there is a strong demand for rental properties, the tight market and high actual rents make it difficult to find properties that are both affordable and profitable. **Recommendation**: **Skip**. The high market rents compared to the FMR suggest that it will be difficult to find properties that are both affordable and generate positive cash flow for Section 8-focused investors. Additionally, the limited availability of properties priced below the market average makes this ZIP code less attractive for such investments. --- This analysis provides a detailed look into the dynamics of the rental market in ZIP code 60615, highlighting the challenges faced by Section 8 voucher holders and the implications for investors. The data clearly shows that the market is tight and expensive, making it a less favorable area for those relying solely on Section 8 vouchers or looking to invest in properties rented at FMR levels.

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.