Location: Springfield, IL | Metro: Springfield, IL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $750 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,450 |
| 4 Bedrooms | $1,520 |
| 5 Bedrooms | $1,763 |
| 6 Bedrooms | $1,975 |
| 7 Bedrooms | $2,133 |
| 8 Bedrooms | $2,240 |
U.S. Census Bureau data (2024)
The analysis for ZIP code 62642 in Greenview, IL, reveals a significant gap between the Fair Market Rent (FMR) and the actual market rent. The FMR for ZIP 62642 in fiscal year 2024 is set at $1040, whereas the market rent, based on recent data from the U.S. Census Bureau's American Community Survey (ACS), is $698. This means there is a $342 difference, or approximately a 50% gap between the two figures.
Given that the FMR exceeds the market rent, this situation makes ZIP 62642 an attractive area for landlords and small-portfolio investors looking to capitalize on the housing voucher program. Voucher tenants can provide a stable and predictable income stream, especially in a market where the average rent is significantly lower than what the government deems as fair market. This scenario translates into a higher potential yield for property owners who participate in the Section 8 program.
The broader context of ZIP 62642 supports this analysis. Only 13.1% of the population are renters, indicating a smaller but potentially more lucrative market for those willing to accept vouchers. The median home value stands at $147,847, which is relatively high compared to the median household income of $77,538. This suggests that homeownership might be less accessible for some residents, making rental properties, particularly those accepting Section 8 vouchers, a valuable asset.
For landlords, the opportunity lies in leveraging the Section 8 program to achieve better financial returns while providing affordable housing options. However, it is essential to understand the administrative requirements and potential challenges associated with the program before investing in properties within this ZIP code.
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.