Location: De Witt County, IL | Metro: Bloomington, IL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $850 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,180 |
| 3 Bedrooms | $1,550 |
| 4 Bedrooms | $1,820 |
| 5 Bedrooms | $2,111 |
| 6 Bedrooms | $2,364 |
| 7 Bedrooms | $2,553 |
| 8 Bedrooms | $2,681 |
U.S. Census Bureau data (2024)
ZIP code 61842, located within De Witt County, IL, presents a unique profile when compared against typical ZIP codes in the same county. The Fair Market Rent (FMR) for 61842 is set at $1090 for fiscal year 2024, which is significantly higher than the market rent of $492. This suggests that there might be a subsidy gap where rental properties are underpriced relative to the government's assessment of fair market value.
The median home value in ZIP 61842 is $166,336, which is lower than what one might expect in a metro area with a higher FMR. This combination of a relatively low home value and an FMR above the market rent can indicate a potential value pocket for landlords who participate in the Section 8 program. Landlords can benefit from the higher subsidies while maintaining lower property costs.
The renter share in ZIP 61842 stands at 12.0%, which is a moderate figure. While this percentage alone does not necessarily define a sweet spot, it aligns with the observation of a below-metro home value and a higher FMR. This balance could make 61842 an attractive area for landlords looking to leverage the Section 8 program without facing the challenges of high property costs.
In summary, ZIP 61842 appears to be a value pocket within the De Witt County, IL metro, offering landlords a good opportunity to secure rental income through the Section 8 program while keeping their investment costs relatively low. The disparity between the FMR and the market rent suggests that landlords in this ZIP code could see a favorable financial position, especially if they manage to attract tenants with vouchers.
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.