Location: Vermilion County, IL | Metro: Vermilion County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $740 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $950 |
| 3 Bedrooms | $1,270 |
| 4 Bedrooms | $1,330 |
| 5 Bedrooms | $1,543 |
| 6 Bedrooms | $1,728 |
| 7 Bedrooms | $1,866 |
| 8 Bedrooms | $1,959 |
U.S. Census Bureau data (2024)
The potential downsides of investing in ZIP 61833 for Section 8 properties include significant tenant turnover due to the disparity between the market rent of $859 and the Fair Market Rent (FMR) of $980 for FY 2024. This gap can lead to frequent changes in occupancy as tenants seek out units that better match their budgetary constraints. Additionally, the vacancy exposure is heightened by the lack of data on days on market (DOM), which makes it difficult to predict how quickly rental units will fill. The deferred maintenance exposure is another concern, given the typical home value of $77,864 and the median income of $48,584. Landlords may find themselves dealing with properties that require substantial repairs and upgrades, which can be costly and time-consuming.
However, these risks must be weighed against the 24.2% renter share in the area. High renter density typically indicates a higher demand for rental units, including those that accept Section 8 vouchers. This increased demand can help mitigate some of the risks associated with vacancy and turnover rates. Moreover, the presence of a significant number of renters suggests a steady stream of potential tenants who are financially supported through government assistance programs, providing a measure of stability in terms of rental income.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.