Section 8 Fair Market Rent (FMR) for ZIP 62450 - 2027

Location: Richland County, IL | Metro: Richland County, IL

Investment Score for ZIP 62450

N/A
Monthly Rent (2BR)
$940
Median Price (2BR)
$N/A
1% Rule
0%
Annual Yield
0%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$650
1 Bedroom$720
2 Bedrooms$940
3 Bedrooms$1,120
4 Bedrooms$1,370
5 Bedrooms$1,589
6 Bedrooms$1,780
7 Bedrooms$1,922
8 Bedrooms$2,018

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
3BR $1,120 $147,121 0.76% D

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
12,327
Median Household Income
$62,096
Housing Units
5,923
Renter Percentage
30.5%
Occupancy Rate
86.4%
Renter Occupied
1,561

30.5% of residents in ZIP code 62450 are renters, indicating a significant demand for rental properties. The $920 Fair Market Rent (FMR) for the metro area in fiscal year 2026 sets a benchmark for rental pricing, which is notably higher than the $809 market rent observed in recent Census data. This suggests an opportunity for landlords to potentially increase rents without exceeding affordability standards.

$132,167 is the median home value in this ZIP code, reflecting a stable housing market. However, the median income of $62,096 might limit the ability of some residents to afford homeownership, thereby sustaining the rental market's strength.

The absence of a specific figure for days on market (DOM) indicates that either the data is incomplete or that rental listings move quickly once they are posted. A quick turnover can be advantageous for landlords looking to minimize vacancy periods.

With a 0.1% price-cut share, it's evident that landlords in this area rarely need to reduce their asking prices to attract tenants, further supporting the idea of a robust rental market.

In conclusion, the data from ZIP code 62450 points towards a favorable environment for landlords and small-portfolio investors. The discrepancy between the FMR and market rent, coupled with a high renter share and low price-cut necessity, signals a strong rental market where properties can command higher rents while remaining affordable to tenants. Given these factors, the Section 8 program, with its $920 FMR, aligns well with the local rental landscape, making it a viable option for landlords seeking stable, long-term tenancies.

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.