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 | $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 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $2,670 | $320,187 | 0.83% | C |
| 2BR | $3,020 | $499,797 | 0.6% | D |
| 3BR | $3,880 | $998,322 | 0.39% | F |
| 4BR | $4,440 | $1,791,249 | 0.25% | F |
U.S. Census Bureau data (2024)
The ZIP code 60654 in Chicago, IL, stands out within Cook County due to several distinct characteristics. With a population of 25,755 residents, it has a high rental rate of 65.8%, indicating a strong demand for apartments and rentals. The median income in this area is $147,357, which is significantly higher than the national average, suggesting a relatively affluent demographic. However, the median home value of $362,612 is also notably high, reflecting the competitive housing market in this part of Chicago.
Landlords and small-portfolio investors should pay attention to the economics of Section 8 vouchers in ZIP 60654. The Fair Market Rent (FMR) for the fiscal year 2024 is set at $2,570, while the market rent, measured by the Zillow Rent Index (ZORI), is $2,921. This discrepancy means that landlords accepting Section 8 vouchers can expect to receive slightly less than the market rent for their properties. Despite this, the high rental rate and median income levels make this ZIP code an attractive location for those willing to work with the voucher system.
The data signature for ZIP 60654 reads as stable. The consistent income levels and high median home values suggest a well-established community with steady economic conditions. While the rental market is robust, the gap between FMR and ZORI indicates a balanced approach where landlords can still find profitability in accepting Section 8 vouchers without sacrificing too much on the market rent. For investors looking to diversify their portfolio with properties that cater to both market-rate tenants and those utilizing government assistance, ZIP 60654 offers a solid opportunity.
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.