Location: Decatur, IL | Metro: Decatur, IL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $820 |
| 1 Bedroom | $820 |
| 2 Bedrooms | $1,050 |
| 3 Bedrooms | $1,350 |
| 4 Bedrooms | $1,650 |
| 5 Bedrooms | $1,914 |
| 6 Bedrooms | $2,144 |
| 7 Bedrooms | $2,316 |
| 8 Bedrooms | $2,432 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 62537 reveals a unique market situation that is neither a high-yield/low-stability flip-style market nor a steady-cashflow zone, but rather a niche scenario due to the lack of certain key data points. For fiscal year 2024, the Fair Market Rent (FMR) for ZIP 62537 is set at $920. This figure represents the maximum rent a Section 8 voucher holder can pay for housing.
Despite the FMR being clearly defined, there is no available market rent data or home value estimates for this area. The absence of these figures makes it challenging to assess the typical rental yields against the FMR. However, without competing market rents, landlords can potentially charge closer to the FMR, maximizing their income per unit, albeit with limited comparative data.
In terms of stability, the ZIP code shows 0.0% of residents as renters, indicating that the majority of the population owns their homes. This characteristic suggests a stable community where long-term tenants might be harder to find. Additionally, the median household income is $70,455, which is relatively consistent and could support higher rental rates if the local economy remains stable.
The lack of days on market (DOM) data for rentals further complicates the analysis, but the combination of low renter percentage and a decent median income hints at a market where rental turnover could be lower, reducing the need for frequent renovations or flips.
Conclusion: ZIP 62537 leans towards a steady-cashflow zone given the stable median income and low renter percentage, despite the incomplete dataset. Landlords should focus on maintaining properties to attract the limited pool of renters willing to pay up to $920 under Section 8, ensuring a reliable income stream without the volatility often associated with high-renter percentage areas.
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.