Section 8 Fair Market Rent (FMR) for ZIP 61074 - 2027

Location: Jo Daviess County, IL | Metro: Carroll County, IL

Investment Score for ZIP 61074

Monthly Rent (2BR)

$960

Median Price (2BR)

$76,815

1% Rule

1.25%

Annual Yield

15%

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	$770
1 Bedroom	$780
2 Bedrooms	$960
3 Bedrooms	$1,250
4 Bedrooms	$1,500
5 Bedrooms	$1,740
6 Bedrooms	$1,949
7 Bedrooms	$2,105
8 Bedrooms	$2,210

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
2BR	$960	$76,815	1.25%	A
3BR	$1,250	$114,636	1.09%	B
4BR	$1,500	$113,636	1.32%	A

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

3,962

Median Household Income

$50,691

Housing Units

2,360

Renter Percentage

34.0%

Occupancy Rate

87.6%

Renter Occupied

702

The area surrounding ZIP code 61074 in Savanna, IL, presents a unique opportunity for real-estate investors interested in the Section 8 housing market. Nestled along the Mississippi River, Savanna offers a blend of rural charm and access to urban amenities, making it a viable location for those seeking stable rental returns.

Fair Market Rent (FMR): The FMR for ZIP 61074 is set at $970 for the fiscal year 2026, indicating the maximum amount that can be charged for a Section 8 voucher in the area.
Market Rent: According to the Census American Community Survey, the average market rent in the area is $857, which is below the FMR, suggesting potential for higher returns if properties meet Section 8 standards.
Median Home Value: The median home value in ZIP 61074 stands at $93,073, reflecting a relatively affordable market for both homeowners and investors.
Renter Share: With 34.0% of residents being renters, there is a significant portion of the population potentially eligible for Section 8 assistance, increasing demand for compliant rental units.
Days on Market (DOM): The data for DOM is currently unavailable, which could indicate either a robust local real estate market or a lack of recent sales activity.
Median Income: The median household income in the area is $50,691, providing insight into the financial capabilities of the local population and their eligibility for Section 8 programs.

In summary, ZIP 61074 in Savanna, IL, offers a market where the Fair Market Rent exceeds the average market rent, creating a scenario where Section 8 properties can command slightly higher rents compared to non-subsidized units. The lower median home values suggest that investment costs will also be relatively low. The substantial renter share points to a high demand for rental housing, while the median income figure helps gauge the potential tenant pool's ability to contribute to rent. However, the absence of DOM data leaves some uncertainty about the speed of property turnover and the overall health of the local real estate market. For investors looking to capitalize on the stability offered by Section 8 tenancy, Savanna presents a promising 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.