Location: Randolph County, IL | Metro: St. Louis, MO-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 | $690 |
| 1 Bedroom | $750 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,210 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,210 | $231,366 | 0.52% | F |
U.S. Census Bureau data (2024)
165,240 is the median home value in ZIP 62277, indicating a moderate housing market where opportunities for rental investments can be found. 15.8% is the share of renters in this area, showing a significant portion of the population relies on rentals, which is crucial for landlords and small-portfolio investors. $900 is the Fair Market Rent (FMR) for ZIP 62277 as of fiscal year 2024, setting the benchmark for rental pricing. However, the actual market rent stands at $733 according to the Census American Community Survey, suggesting a potential gap between government-set rates and what the market currently bears. $67,969 is the median income in this ZIP code, which is an important figure for assessing the financial stability of potential tenants. N/A indicates that there is no data available for the average days on market (DOM) or the percentage of homes that have been price-cut, leaving room for speculation but also highlighting the need for due diligence when investing in this area. Given these numbers, landlords should carefully consider their pricing strategy to align with both the market conditions and government guidelines. The lower market rent compared to the FMR could mean that there is room for slight increases without alienating potential tenants, especially those who might qualify for Section 8 assistance. In conclusion, ZIP 62277 presents a balanced opportunity for Section 8 investments, with a reasonable median home value and a sizeable renter base, though income levels should be monitored closely.
Section 8 Verdict: Suitable for investment with careful tenant selection.
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.