Location: Shelby County, IL | Metro: Christian 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 | $720 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,110 |
| 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 |
|---|---|---|---|---|
| 2BR | $930 | $94,090 | 0.99% | C |
| 3BR | $1,110 | $154,414 | 0.72% | D |
U.S. Census Bureau data (2024)
The ZIP code 62510 encompasses an area in Assumption, Illinois, characterized by a modest population size of 1,677 residents. With 41.2% of the populace being renters, it suggests a community where a significant portion relies on rental housing, indicating potential demand for affordable housing solutions. The median income here stands at $56,949, which is a middle-class figure, and the median home value is $125,802, reflecting relatively low-cost living conditions.
Moving into the realm of rent economics, the Fair Market Rent (FMR) for the metro area in fiscal year 2026 is set at $920. However, the current market rent, as per the Census American Community Survey (ACS), is notably lower at $693. This discrepancy highlights a potential opportunity for investors looking to capitalize on the gap between the actual rents charged and the government's benchmark for affordable housing.
For a hands-off voucher operator, ZIP 62510 presents a viable option. The lower market rent compared to the FMR means that properties can be rented out at a price that aligns well with the Section 8 program's guidelines, ensuring a steady stream of income without the need for constant property management adjustments. On the other hand, for a hands-on value-add buyer, there is room to increase rents closer to the FMR while still offering affordable housing, which could result in higher returns but would require active property management and possibly renovations to justify the increased rates.
In conclusion, ZIP 62510 in Assumption, IL, offers both hands-off and hands-on investors distinct opportunities within the Section 8 framework. The existing economic landscape supports a hands-off strategy due to the favorable rent-to-FMR ratio, while also presenting challenges and opportunities for those willing to take a more active role in managing and enhancing their properties.
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.