Section 8 Fair Market Rent (FMR) for ZIP 62054 - 2027
Location: Greene County, IL | Metro: St. Louis, MO-IL HUD Metro FMR Area
FY 2027 Fair Market Rent Rates
| Unit Size |
Monthly FMR |
| Studio | $690 |
| 1 Bedroom | $740 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,480 |
| 5 Bedrooms | $1,717 |
| 6 Bedrooms | $1,923 |
| 7 Bedrooms | $2,077 |
| 8 Bedrooms | $2,181 |
Demographics & Housing Statistics
U.S. Census Bureau data (2024)
Median Household Income
$61,417
If a landlord is considering purchasing a property in ZIP code 62054 for Section 8 purposes, they must evaluate several key factors to make an informed decision. Here's a structured approach to guide that decision:
- Does the Fair Market Rent (FMR) of $900 cover the debt service on a property valued at $120,406?
- Yes. The FMR of $900 is sufficient to clear the debt service on a property of this value, assuming typical financing terms. This means the rental income will meet the mortgage payment requirements, ensuring financial stability.
- No. If the FMR does not sufficiently cover the debt service, the property is not financially viable under Section 8. Landlords need to ensure that the rental income meets their mortgage obligations and other expenses.
- Is the market rent of $858 above, at, or below the FMR?
- Above FMR. If the market rent were above $900, it would indicate a strong local rental market where landlords might be able to charge more than the FMR. However, in this case, the market rent is below the FMR, suggesting that the FMR provides a buffer against lower market rates.
- At or Below FMR. With the market rent set at $858, which is below the FMR of $900, landlords can rely on the higher FMR to ensure they receive adequate rent to cover costs. This is beneficial in areas where market rents are lower than what is needed to maintain profitability.
- Are 14.9% of residents renters and is the number of days on the market (DOM) sufficient to indicate demand?
- It Depends. The percentage of renters at 14.9% suggests there is some demand for rental properties in the area. However, the lack of data on days on the market (DOM) makes it difficult to assess how quickly properties are being rented. A low DOM would indicate strong demand, while a high DOM might suggest challenges in finding tenants.
In conclusion, the ZIP code 62054 appears to offer a stable environment for Section 8 investments due to the FMR covering the debt service and being higher than the market rent. However, the absence of DOM data leaves uncertainty regarding tenant demand. Landlords should further investigate the local real estate market trends to make a fully informed decision.
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.