Location: Morgan County, IL | Metro: Springfield, 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 | $750 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,660 |
| 5 Bedrooms | $1,926 |
| 6 Bedrooms | $2,157 |
| 7 Bedrooms | $2,330 |
| 8 Bedrooms | $2,447 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,090 | $88,647 | 1.23% | A |
| 3BR | $1,450 | $135,063 | 1.07% | B |
| 4BR | $1,660 | $191,821 | 0.87% | C |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 62612 in Ashland, Illinois, for fiscal year 2024 is set at $1040. This figure represents the maximum amount that a landlord can charge for a Section 8 rental unit in this area. It's important to note that this is not the actual rent you will receive; it's the payment standard used by the Housing Choice Voucher Program to determine the maximum subsidy for tenants.
In comparison, the average rent for the area, according to the Census American Community Survey (ACS), is $585. This indicates that the FMR for Section 8 is significantly higher than the typical market rate, which could be beneficial for landlords looking to maximize their income from rental properties.
The 15.6% renter share in Ashland suggests that there is a moderate demand for rental housing. While this percentage isn't extremely high, it does indicate that there are enough potential tenants to consider entering the rental market, especially through the Section 8 program.
When it comes to acquiring a property, the median home value in the area is around $130,450. This figure gives an idea of the investment required to purchase a property suitable for Section 8 tenants. It’s crucial to factor in the acquisition cost along with ongoing expenses such as maintenance, utilities, and property taxes when evaluating the profitability of a Section 8 rental.
To ensure success, verify that the property meets all local housing quality standards (HQS) before proceeding. The Housing Authority will inspect the property to confirm that it complies with these standards, which include basic safety and habitability requirements. Failure to meet these criteria can delay the process or result in disqualification from the program.
In summary, the FMR of $1040 provides a clear benchmark for pricing your Section 8 rental unit. With the average rent at $585 and a 15.6% renter share, there is a reasonable demand for rental housing in Ashland. For a first-time Section 8 landlord, the key to getting started is ensuring your property meets all necessary HQS requirements.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.