Section 8 Fair Market Rent (FMR) for ZIP 61101 - 2027

Location: Rockford, IL | Metro: Rockford, IL MSA

FY 2027 Fair Market Rent Rates

Unit Size	Monthly FMR
Studio	$830
1 Bedroom	$910
2 Bedrooms	$1,190
3 Bedrooms	$1,570
4 Bedrooms	$1,600
5 Bedrooms	$1,856
6 Bedrooms	$2,079
7 Bedrooms	$2,245
8 Bedrooms	$2,357

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population

19,318

Median Household Income

$46,163

Housing Units

8,714

Renter Percentage

48.6%

Occupancy Rate

88.9%

Renter Occupied

3,767

Housing Authorities Serving ZIP 61101

Rockford Housing Authority (Rockford, IL) - 2,363 Section 8 vouchers
Winnebago County Housing Authority (Rockford, IL) - 988 Section 8 vouchers

The ZIP code 61101, located in Rockford, Illinois, offers a unique opportunity for real estate investors interested in the Section 8 housing market. This area is characterized by a mix of residential properties and a significant portion of renters who rely on government assistance for their housing needs.

The Fair Market Rent (FMR) for ZIP 61101 in fiscal year 2024 is set at $970. This figure represents the maximum amount that a landlord can charge for a Section 8 voucher holder in this area.
The market rent, as indicated by the Zillow Observed Rent Index (ZORI), stands at $1,172. This suggests that the private rental market is slightly above the FMR, indicating potential for landlords to earn more through traditional leasing if they can attract non-subsidized tenants.
The median home value in ZIP 61101 is $111,558. This relatively low median value can be attractive for investors looking to purchase properties at a lower cost, especially considering the potential for rental income.
Renters make up 48.6% of the population in this ZIP code, highlighting a strong demand for rental properties. This high percentage of renters also means there's a significant need for affordable housing options.
The median income for residents in ZIP 61101 is $46,163. This income level is indicative of the economic status of the area, which aligns well with the target demographic for Section 8 housing assistance.
The Days on Market (DOM) data is not available, but given the high renter share and median income levels, it's reasonable to assume that properties may be rented quickly once listed.

In summary, ZIP 61101 presents a balanced market for both Section 8 and general rental investments. With a substantial portion of the population relying on rental housing and a median home value that is relatively low, this area offers opportunities for landlords to manage properties effectively while earning stable rental income. The gap between the FMR and ZORI indicates a possibility for diversifying tenant sources to maximize profitability. However, investors should be prepared for a market where a significant number of tenants may require subsidized housing, making familiarity with Section 8 guidelines essential.

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.