Location: Lawrence County, IL | Metro: Crawford County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,400 |
| 4 Bedrooms | $1,670 |
| 5 Bedrooms | $1,937 |
| 6 Bedrooms | $2,169 |
| 7 Bedrooms | $2,343 |
| 8 Bedrooms | $2,460 |
U.S. Census Bureau data (2024)
The median family rent in ZIP 62427 (Flat Rock, IL) is set at $990 for metro FY 2026. This raises several concerns for skeptical investors:
Will FMR $990 cover the mortgage on a $155,992 home? The median household income in 62427 is $66,536, and the average household income is $94,228. Assuming a 30-year fixed-rate mortgage with a 4% interest rate, the monthly payment on a $155,992 home would be approximately $750. Therefore, the FMR of $990 is sufficient to cover the mortgage, leaving room for maintenance and other expenses.
Is there enough renter demand at 5.7%? With a 5.7% renter-occupied rate, the demand for rental properties in 62427 is relatively low compared to other areas. However, the median rent of $532 is below the national average, suggesting that the area may attract budget-conscious renters. Additionally, the median household income has grown by 20.6% over the past five years, indicating potential for increasing renter demand as incomes rise.
Will vouchers keep pace with market rents? The data does not provide specific information regarding the pace of voucher increases in relation to market rents. However, the median rent of $532 is significantly lower than the FMR of $990, suggesting that vouchers may currently cover a substantial portion of typical rental costs. For a more definitive answer, it would be necessary to review recent trends in voucher allocation and increases in the area.
In summary, while the renter-occupied rate is modest, the median rent is affordable and could support rental demand. The FMR is adequate to cover mortgage payments, and though we lack precise data on voucher trends, current median rents suggest that vouchers may remain supportive. However, specific data on voucher adjustments would be needed for a complete analysis.
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.