Location: Pike County, IL | Metro: Pike County, IL
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 | $650 |
| 1 Bedroom | $710 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,130 |
| 4 Bedrooms | $1,400 |
| 5 Bedrooms | $1,624 |
| 6 Bedrooms | $1,819 |
| 7 Bedrooms | $1,965 |
| 8 Bedrooms | $2,063 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,130 | $124,671 | 0.91% | C |
U.S. Census Bureau data (2024)
The ZIP code 62340 profiles as a renter-heavy area with significant potential for Section 8 tenants. With 33.4% of the population renting, there is a notable demand for rental properties, especially those that can accommodate government housing vouchers. This percentage indicates a substantial portion of residents rely on rented accommodation, making it an attractive location for landlords seeking to cater to this demographic.
The median household income in ZIP 62340 stands at $43,333. The average market rent of $541 represents approximately 14.7% of the median income, which is calculated by dividing the annual rent ($541 * 12) by the median income ($43,333). This suggests that the typical rent is relatively affordable compared to the average income level, although it still consumes a considerable share of the monthly budget.
When comparing the market rent to the Fair Market Rent (FMR) of $920 for the fiscal year 2026, it becomes evident that the actual rent is significantly lower than the FMR. This discrepancy highlights the affordability of the area for low-income households, including those who might be utilizing Section 8 vouchers. Landlords in this area could potentially benefit from the higher FMR, as it allows for greater flexibility in setting rent prices that align with government assistance programs.
A landlord in ZIP 62340 should expect a tenant profile that includes a high proportion of individuals and families who depend on Section 8 vouchers. These tenants will likely have incomes that qualify them for federal housing assistance, typically earning below 50% of the Area Median Income (AMI). Given the lower market rents relative to the FMR, landlords can anticipate a steady stream of applicants who are seeking affordable housing options and are willing to comply with the requirements of the Section 8 program. The combination of a substantial renter population and an income level that necessitates financial assistance makes this ZIP code particularly suitable for landlords looking to participate in the Section 8 program.
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.