Location: Hancock County, IL | Metro: Adams County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $670 |
| 1 Bedroom | $770 |
| 2 Bedrooms | $960 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,350 |
| 5 Bedrooms | $1,566 |
| 6 Bedrooms | $1,754 |
| 7 Bedrooms | $1,894 |
| 8 Bedrooms | $1,989 |
U.S. Census Bureau data (2024)
ZIP 62316, located in Hancock County, IL metro, presents itself as a cash-flow anchor within a Section 8 portfolio strategy. This classification is based on the significant spread between the Fair Market Rent (FMR) and the current market rental rates.
The FMR for ZIP 62316 in fiscal year 2026 is set at $920. In contrast, the market rental rate stands at $405. This means that landlords participating in the Section 8 program can expect a substantial subsidy, effectively turning this area into a reliable source of cash flow. The difference of $515 per unit represents a considerable margin that can be used to cover operational costs, maintenance, and even provide a profit cushion.
While appreciation plays and diversifiers are important components of a balanced investment portfolio, ZIP 62316 lacks the necessary data to support these classifications. There is no available percentage for price-cut share or days on market (DOM), which would typically indicate potential for property value growth. Additionally, the median home value is not provided, making it difficult to assess long-term capital appreciation prospects.
The renter share of 20.4% and median income of $61,094 do suggest a modest level of diversity in terms of tenant demographics and economic stability. However, these factors alone are insufficient to categorize ZIP 62316 as a diversifier. Instead, they reinforce the area's suitability as a cash-flow anchor by indicating a stable demand for rental properties and a manageable risk profile.
In summary, ZIP 62316 should be viewed primarily as a cash-flow anchor due to the large subsidy gap between the FMR and market rental rates. This makes it an attractive option for landlords and small-portfolio investors looking to secure consistent and predictable income streams through the Section 8 program.
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.