Location: Knox County, IL | Metro: Knox County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,380 |
| 5 Bedrooms | $1,601 |
| 6 Bedrooms | $1,793 |
| 7 Bedrooms | $1,936 |
| 8 Bedrooms | $2,033 |
U.S. Census Bureau data (2024)
To determine if a landlord should invest in ZIP code 61458 for Section 8 properties, follow this decision tree based on the available data:
1) Does the Fair Market Rent (FMR) of $960 cover the debt service on a property?
No: The FMR does not sufficiently cover the debt service, making it financially unviable to purchase a property in this ZIP code for Section 8 tenants.
Yes: Proceed to the next question.
2) Is the market rent above, at, or below the FMR?
Above FMR: The market rent exceeds the FMR, indicating that landlords could potentially earn more by renting to non-Section 8 tenants. This makes it less attractive for Section 8 investment unless there's a significant demand for affordable housing.
At or Below FMR: Proceed to the final question.
3) Do the 17.0% of renters combined with an average of N/A days on the market (DOM) indicate sufficient demand?
17.0% Renters + High DOM: The combination of a lower percentage of renters and a high number of days on the market suggests weak demand. Landlords should avoid investing in this ZIP code for Section 8 properties due to potential difficulties in finding tenants.
17.0% Renters + Low DOM: Despite the relatively low percentage of renters, the quick turnover indicated by low DOM days suggests strong demand. Landlords can consider investing in this ZIP code for Section 8 properties, but must ensure that the FMR of $960 covers their debt service.
Higher % of Renters + Low DOM: A higher percentage of renters coupled with low DOM indicates robust demand. Investing in Section 8 properties in this ZIP code is advisable, provided the FMR meets or exceeds the debt service requirements.
Note: Due to missing data points, some branches of the decision tree cannot be fully evaluated. Ensure you have all necessary financials and local rental market details before making an investment decision.
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.