Location: Warren County, IL | Metro: Warren County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $700 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $990 |
| 3 Bedrooms | $1,250 |
| 4 Bedrooms | $1,610 |
| 5 Bedrooms | $1,868 |
| 6 Bedrooms | $2,092 |
| 7 Bedrooms | $2,259 |
| 8 Bedrooms | $2,372 |
U.S. Census Bureau data (2024)
The economics of Section 8 in ZIP code 61435 operate under specific financial guidelines that directly impact landlords and small-portfolio investors. The SAFMR (Section 8 Area Median Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $940. This figure represents the maximum amount that the housing authority will pay towards rent for a unit of this size.
In contrast, the local market rent for a two-bedroom apartment, based on Census ACS data, is $708. This discrepancy highlights the potential benefits and challenges of participating in the Section 8 program. Landlords should understand that the total reimbursement they receive from a voucher is calculated by adding the tenant's portion of the rent and any utility allowances to the base subsidy amount.
The tenant's portion of the rent is typically 30% of their adjusted income. For example, if a tenant's monthly adjusted income is $1,000, they would be responsible for paying $300 toward the rent. Utility allowances vary but are generally around $200 per month for a two-bedroom unit. Therefore, in ZIP 61435, the total reimbursement a landlord might expect from a Section 8 voucher for a two-bedroom apartment could be structured as follows:
This results in a total reimbursement of $1,440 for a two-bedroom unit in ZIP 61435. However, it's important to note that the SAFMR does not cover all costs associated with renting out a property. Landlords must consider maintenance, vacancy periods, and other expenses when determining whether the Section 8 program aligns with their investment goals.
Given the local market rent of $708, landlords participating in the Section 8 program for a two-bedroom apartment in ZIP 61435 can expect a surplus of $732 above the market rate, assuming the tenant's portion and utility allowance add up to the maximum SAFMR. This surplus provides a buffer against the lower risk of non-payment often associated with Section 8 tenants, as the government guarantees the payment of the voucher amount.
In summary, while the SAFMR sets the upper limit for the housing authority's contribution in ZIP 61435, the combination of the tenant's portion and utility allowances can result in a higher total reimbursement compared to the average market rent. This creates a financial advantage for landlords willing to participate in the Section 8 program.
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.