Location: Adams County, IL | Metro: Adams County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $720 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,040 |
| 3 Bedrooms | $1,280 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
The analysis of the Section 8 program in ZIP 62376 reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. For fiscal year 2026, the FMR in the metro area is $1,120, while the market rent, according to the Census ACS, stands at $858. This creates a gap of $262, representing a 30.5% difference.
In ZIP 62376, where the FMR exceeds the market rent, accepting voucher tenants can be a strategic move for landlords and small-portfolio investors. With a median home value of $180,179 and a median income of $57,778, the area has a modest 14.4% rental rate. The higher FMR allows voucher holders to afford units that are priced at or slightly above the market rent, thus providing landlords with a steady stream of income. The voucher program effectively subsidizes the difference between the market rent and the tenant's 30% income contribution, ensuring that landlords receive a consistent and competitive rent payment.
However, landlords must be aware of the implications of renting below the open-market rates. While the gap makes it attractive to accept voucher tenants, it also means that landlords might not maximize their rental income potential. The decision to participate in the Section 8 program should weigh the benefits of stable tenancy against the potential loss of revenue if market conditions improve.
To summarize, the gap between FMR and market rent in ZIP 62376 presents an opportunity for landlords to benefit from the yield play offered by voucher tenants. Given the area's context, this strategy aligns well with the modest rental market and the broader economic indicators. Accepting Section 8 tenants can be a viable option for landlords seeking reliable income streams, particularly in a market where the majority of renters might struggle to find affordable housing without assistance.
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.