Location: Vermilion County, IL | Metro: Champaign-Urbana, IL HUD Metro FMR Area
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 | $890 |
| 1 Bedroom | $900 |
| 2 Bedrooms | $1,070 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,410 |
| 5 Bedrooms | $1,636 |
| 6 Bedrooms | $1,832 |
| 7 Bedrooms | $1,979 |
| 8 Bedrooms | $2,078 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,350 | $198,841 | 0.68% | D |
U.S. Census Bureau data (2024)
ZIP 61849, located in Vermilion County, IL, presents a unique opportunity for landlords and small-portfolio investors when considering a Section 8 portfolio strategy. This area serves primarily as a cash-flow anchor.
The Federal Market Rent (FMR) for ZIP 61849 in fiscal year 2024 is set at $940. In comparison, the market rent stands at $979, indicating a modest spread of $39 between the two figures. Additionally, the median home value in the area is $180,883. These figures suggest that while the rental income may be slightly higher than the FMR, the property values remain relatively stable, making ZIP 61849 a reliable cash-flow anchor.
The housing market in ZIP 61849 has seen significant fluctuations, with the median sale price of homes dropping to $107,000 in March 2026, a decrease of 53.4% year-over-year. Despite this decline, homes still sell in approximately 45 days, which is faster than the national average and indicates a level of stability in the local real estate market. However, these trends do not support ZIP 61849 as an appreciation play, given the lack of substantial growth in home values.
With a renter share of 13.1%, ZIP 61849 does offer some diversification potential. The median income in the area is $86,250, which could indicate a mix of tenants, including those who might qualify for Section 8 housing assistance. Nonetheless, the primary role of ZIP 61849 within a Section 8 portfolio strategy is to provide a steady and predictable cash flow, anchoring the overall financial performance of the investment portfolio.
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.