Location: Christian County, IL | Metro: Decatur, IL MSA
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 | $1,120 |
| 1 Bedroom | $1,140 |
| 2 Bedrooms | $1,450 |
| 3 Bedrooms | $1,860 |
| 4 Bedrooms | $2,290 |
| 5 Bedrooms | $2,656 |
| 6 Bedrooms | $2,975 |
| 7 Bedrooms | $3,213 |
| 8 Bedrooms | $3,374 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,860 | $176,951 | 1.05% | B |
U.S. Census Bureau data (2024)
The classification of ZIP code 62513 on the axes of yield and stability reveals a unique market scenario. To begin with, the yield potential is significant due to the disparity between the Fair Market Rent (FMR) and the market rent. The FMR for ZIP 62513 in fiscal year 2024 is set at $1380, while the current market rent stands at $950. This indicates that properties eligible for Section 8 could potentially command a higher rent compared to what the market currently offers, thereby providing a higher yield opportunity.
However, the stability of the market is questionable. Only 13.7% of residents are renters, which is a relatively low percentage, suggesting that the demand for rental properties might be limited. Additionally, the median household income in the area is $83,125, which may imply that many residents can afford to buy rather than rent, further reducing the rental demand. The lack of data on days on market (DOM) also adds uncertainty regarding the speed at which properties can be leased out.
To summarize, ZIP 62513 presents itself as a market with high-yield potential but low stability. The high FMR relative to the market rent makes it attractive for those looking to capitalize on the government subsidy. However, the limited rental population and moderate household income suggest that the market is not consistently stable, leaning towards a flip-style market where quick turnover is key rather than a steady cash flow zone. Landlords and small-portfolio investors should weigh these factors carefully when considering investment in this area.
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.