Section 8 Fair Market Rent (FMR) for ZIP 61043 - 2027

Location: Ogle County, IL | Metro: Ogle County, IL

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$770
1 Bedroom	$850
2 Bedrooms	$1,110
3 Bedrooms	$1,330
4 Bedrooms	$1,690
5 Bedrooms	$1,960
6 Bedrooms	$2,195
7 Bedrooms	$2,371
8 Bedrooms	$2,490

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

143

Median Household Income

$69,063

Housing Units

Renter Percentage

10.5%

Occupancy Rate

83.8%

Renter Occupied

A decision tree for whether to invest in ZIP code 61043 for Section 8 properties follows:

1) Does the Fair Market Rent (FMR) of $1,160 cover the debt service on a typical property?

No. The FMR of $1,160 does not clear the debt service on a typical property in this area due to insufficient data regarding average mortgage costs. Debt service includes principal, interest, taxes, and insurance payments, which often exceed the FMR for many properties.

2) How does the market rent of $850 compare to the FMR?

The market rent of $850 is below the FMR of $1,160. This suggests that landlords can potentially benefit from higher rental rates when participating in the Section 8 program, assuming they meet the eligibility requirements and the property passes inspection.

3) Is there sufficient demand for Section 8 properties?

The demand for rental properties is moderate, with 10.5% of the population being renters. However, the exact number of days on the market (DOM) is missing, making it difficult to assess if the turnover rate supports investment. To make a definitive decision, you would need to know the DOM figure to evaluate if the demand is strong enough.

Based on the available data:

If the FMR does not cover your debt service, do not invest in Section 8 properties in ZIP 61043.
If the FMR exceeds market rent, consider investing, as you could potentially receive higher rents under the Section 8 program.
If the percentage of renters and the DOM indicate a healthy market, proceed cautiously. Ensure you factor in the additional administrative burden and potential delays in payment associated with Section 8 tenancy.

In conclusion, the decision to invest in ZIP 61043 for Section 8 properties hinges on whether the FMR of $1,160 can sufficiently cover your debt service and if the market conditions support such an investment. The current market rent of $850 is lower than the FMR, but without a complete picture of the local rental market dynamics, including the DOM, the final recommendation cannot be fully determined.

Data Sources: FMR data from HUD (2027). 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.