Location: Montgomery County, IL | Metro: Bond County, IL HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $740 |
| 1 Bedroom | $870 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,460 |
| 5 Bedrooms | $1,694 |
| 6 Bedrooms | $1,897 |
| 7 Bedrooms | $2,049 |
| 8 Bedrooms | $2,151 |
U.S. Census Bureau data (2024)
The potential pitfalls for a landlord investing in ZIP 62019 through the Section 8 program are significant. Tenant turnover can be a major issue, especially when comparing the market rent of $920 to the Fair Market Rent (FMR) of $1320 for FY 2024. This disparity suggests that tenants may be inclined to move once they find a place where their vouchers cover a larger portion of the rent, leading to frequent vacancies.
Vacancy exposure is another concern. With the days on market (DOM) being N/A, it's unclear how long properties might remain vacant. This uncertainty can lead to financial strain, as landlords rely on steady rental income to maintain cash flow.
The deferred-maintenance exposure is also noteworthy. Given the typical home value of $140,482 and the median income of $56,741, many homeowners might struggle to keep up with necessary repairs and maintenance. This could translate into higher maintenance costs for landlords, as they may need to invest more to ensure their properties meet Section 8 standards.
However, these risks must be weighed against the substantial 29.1% renter share in the area. High renter density often correlates with increased demand for housing vouchers, which can stabilize occupancy rates. The concentration of renters indicates a robust pool of potential voucher holders who will likely seek out affordable housing options.
In conclusion, the investment risk for a first-time Section 8 landlord in ZIP 62019 is moderate. While there are challenges associated with tenant turnover and maintenance, the high proportion of renters presents an opportunity for consistent voucher-based tenancy.
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.