Location: Chicago-Joliet-Naperville, IL | Metro: Chicago-Joliet-Naperville, IL HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,650 |
| 1 Bedroom | $1,750 |
| 2 Bedrooms | $1,980 |
| 3 Bedrooms | $2,550 |
| 4 Bedrooms | $2,910 |
| 5 Bedrooms | $3,376 |
| 6 Bedrooms | $3,781 |
| 7 Bedrooms | $4,083 |
| 8 Bedrooms | $4,287 |
The economics of Section 8 housing in ZIP code 60689 are governed by the SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment, which is set at $1680 for fiscal year 2024. This SAFMR is specifically tailored for this ZIP code, reflecting the local rental market conditions.
Section 8 vouchers cover a portion of the rent based on the SAFMR and the tenant's ability to pay. The tenant is responsible for paying 30% of their adjusted income towards rent. For instance, if a tenant has an adjusted monthly income of $1000, they would contribute $300 towards the rent. The voucher then covers the remaining amount up to the SAFMR, which in this case would be $1380.
In addition to the rent, the voucher also includes utility allowances. These allowances vary but typically cover costs such as electricity, gas, water, and sewage. For a two-bedroom unit, the utility allowance might average around $200 per month, depending on the specifics of the contract and the local utility rates.
This means that the total reimbursement a landlord can expect from a Section 8 voucher for a two-bedroom apartment in ZIP 60689 would be the sum of the tenant's contribution and the utility allowance. If we use the example of a $300 tenant contribution and a $200 utility allowance, the total reimbursement would be $1580. However, this figure will fluctuate based on the actual income of the tenant and their utility usage.
Given that the SAFMR is $1680, the typical reimbursement gap for a landlord in ZIP 60689 would be $100 per month. This gap represents the difference between the SAFMR and the total reimbursement received from the voucher plus the tenant's payment. Landlords must consider this gap when deciding whether to participate in the Section 8 program.
Note that the local market rent data is currently unavailable, so it's important for landlords to research and understand the current market conditions independently to ensure they are making informed decisions about their rental properties.
Data Sources: FMR data from HUD (2027).
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.