Location: Montgomery County, IL | Metro: Macoupin County, IL HUD Metro FMR Area
| 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 median income in ZIP code 62690 stands at $84,196, which places it slightly below the market rate rent of $864 per month as reported by the Census Bureau's American Community Survey (ACS). This indicates that a typical household in this area would struggle to cover the average rental costs without significant financial strain.
Comparatively, the Fair Market Rent (FMR) standard set by the government for voucher payments in fiscal year 2024 is $890. This means that families using housing vouchers could potentially afford slightly higher rent rates than those paying market rates, assuming they have additional income sources or financial support.
Given that 28.0% of the population are renters and the total population is 3,838, the affordability gap suggests a competitive environment for landlords. The number of potential renters who can afford the market rate is limited, which could lead to a smaller pool of tenants willing and able to pay the full market price. This competition is further intensified when considering the additional value that voucher holders bring, as they can afford rents closer to the FMR without the financial burden affecting their overall budget.
Landlords in ZIP 62690 should consider the benefits of accepting housing vouchers. While the voucher payment of $890 is marginally above the market rate, it ensures a stable income stream with less risk of vacancy. Accepting vouchers also broadens the tenant base, potentially attracting more applicants who might otherwise be priced out of the market. For small-portfolio investors, diversifying between voucher and cash-paying tenants can help manage risk and maintain occupancy rates.
In summary, landlords must navigate the tight margins between median income and market rent rates. Voucher acceptance offers a viable strategy to attract tenants and stabilize cash flows in a competitive rental market. Landlords should weigh the advantages of voucher payments against the stability of cash-paying tenants to optimize their investment portfolio.
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.