Location: Champaign-Urbana, IL | Metro: Bloomington, 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 | $850 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,180 |
| 3 Bedrooms | $1,550 |
| 4 Bedrooms | $1,560 |
| 5 Bedrooms | $1,810 |
| 6 Bedrooms | $2,027 |
| 7 Bedrooms | $2,189 |
| 8 Bedrooms | $2,298 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,550 | $255,988 | 0.61% | D |
U.S. Census Bureau data (2024)
The analysis of ZIP code 61843 reveals a market that offers a balance between yield and stability, making it suitable for both high-yield and steady-cashflow investment strategies, though leaning slightly towards the latter.
On the yield axis, the Fair Market Rent (FMR) for ZIP 61843 in fiscal year 2024 is set at $930. This is a modest increase from the current market rent of $917. Given the median home value of $226,668, this FMR represents a rental yield of approximately 5%, which is reasonable for the area. The yield potential is further enhanced by the fact that the FMR is above the market rent, indicating an opportunity for landlords to command slightly higher rents while still being competitive.
Regarding stability, the ZIP code shows a lower percentage of renters at 10.5%, which suggests that the majority of residents are homeowners. This can be indicative of a stable community where tenants are less likely to move frequently, reducing turnover rates and vacancy periods. However, the lack of data on days on market (DOM) for rentals implies some uncertainty about how quickly properties might be leased. The median household income of $97,943 supports the ability of residents to pay rent, contributing to the stability of rental payments.
To summarize, ZIP 61843 is not a high-yield/low-stability flip-style market but rather a zone that offers steady cash flow. The slight edge in FMR over market rent, combined with a relatively low percentage of renters and decent household income, points to a stable tenant base with moderate rental yields. Landlords and small-portfolio investors should expect a reliable but not exceptionally high return on their investments here.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.