Location: Peoria, IL | Metro: Peoria, IL MSA
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $880 |
| 1 Bedroom | $920 |
| 2 Bedrooms | $1,160 |
| 3 Bedrooms | $1,490 |
| 4 Bedrooms | $1,640 |
| 5 Bedrooms | $1,902 |
| 6 Bedrooms | $2,130 |
| 7 Bedrooms | $2,300 |
| 8 Bedrooms | $2,415 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,160 | $185,281 | 0.63% | D |
| 3BR | $1,490 | $288,076 | 0.52% | F |
| 4BR | $1,640 | $378,528 | 0.43% | F |
U.S. Census Bureau data (2024)
The Section 8 thesis in ZIP code 61517, which encompasses Brimfield, IL, is centered around the disparity between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2024, the FMR stands at $940, while the Census ACS reports the market rent at $957. This creates a gap of $17, representing approximately 1.8% of the market rent.
In this scenario where the FMR is less than the market rent, landlords and small-portfolio investors should be aware of the financial implications of accepting housing vouchers. The lower FMR means that voucher holders can only pay up to $940, whereas the market suggests a higher rental rate of $957. This discrepancy translates into a direct cost for property owners who choose to house voucher tenants at rates below the open-market level.
Brimfield, IL has a relatively low percentage of renters at 10.9%, indicating that the majority of residents own their homes. With a median home value of $284,277 and a median income of $99,886, it's clear that the area is predominantly middle-class. However, the presence of Section 8 vouchers serves a segment of the population that requires assistance to meet housing costs.
Investors considering properties in Brimfield must weigh the benefits of guaranteed rental payments from the government against the potential loss of $17 per unit, compared to what could be charged in the open market. This gap, while seemingly small, can significantly impact the overall yield of an investment portfolio. It's crucial to understand these dynamics to make informed decisions about accepting Section 8 tenants.
To summarize, the FMR being slightly below the market rent in Brimfield, IL, poses a challenge for landlords seeking to maximize their returns. Despite the yield play being somewhat diminished due to the lower FMR, the stability of rental income and the opportunity to serve a community need might still justify the decision to accept housing vouchers.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.