Location: Adams County, IL | Metro: Adams County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $960 |
| 1 Bedroom | $1,050 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,700 |
| 4 Bedrooms | $2,010 |
| 5 Bedrooms | $2,332 |
| 6 Bedrooms | $2,612 |
| 7 Bedrooms | $2,821 |
| 8 Bedrooms | $2,962 |
U.S. Census Bureau data (2024)
The ZIP code 62359 presents a unique rental market scenario where understanding the financial dynamics is crucial for landlords and small-portfolio investors. Given the median income of $51,413, it becomes evident that households here face significant challenges in affording the current market rate rents, which are unfortunately not available due to being marked as N/A. However, the situation can be analyzed using the Fair Market Rent (FMR) set at $1,060 for the metro area in fiscal year 2026.
To put this into perspective, let's consider the monthly income derived from the median annual income. A household earning $51,413 annually would have a monthly income of approximately $4,284. According to the general rule of thumb that rent should not exceed 30% of a household's income, the maximum affordable rent for a household in ZIP 62359 would be around $1,285. This suggests that the FMR of $1,060 is within the range of affordability for most residents based on their median income.
The ZIP code has a high percentage of renters at 52.3%, indicating a strong demand for rental properties. With a total population of 184, this means there are roughly 96 households potentially looking for rental units. The affordability gap between the median income and the FMR highlights the importance of price sensitivity in this market. Landlords must be mindful of setting rents that do not exceed what tenants can reasonably afford, as doing so could lead to higher vacancy rates and increased competition.
In conclusion, for landlords considering their strategy in ZIP 62359, focusing on affordability is key. Accepting Section 8 vouchers, which pay up to $1,060, aligns well with the financial capabilities of the majority of households. This approach ensures steady occupancy and minimizes competition risks. While cash-paying tenants might offer higher rents, the likelihood of finding such tenants who can afford above the FMR is low given the median income constraints. Therefore, prioritizing voucher acceptance is a prudent move for maintaining a stable investment portfolio in this ZIP code.
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.