Location: Logan County, IL | Metro: Springfield, IL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $990 |
| 1 Bedroom | $1,120 |
| 2 Bedrooms | $1,420 |
| 3 Bedrooms | $1,860 |
| 4 Bedrooms | $1,980 |
| 5 Bedrooms | $2,297 |
| 6 Bedrooms | $2,573 |
| 7 Bedrooms | $2,779 |
| 8 Bedrooms | $2,918 |
U.S. Census Bureau data (2024)
The market analysis for Section 8 investors in ZIP code 62693, located in Logan County, Illinois, reveals a favorable environment for cashflow. The Fair Market Rent (FMR) set by HUD for FY 2024 is $1060, which exceeds the market rent of $943 reported by the Census ACS. This means that landlords can expect positive cashflow when renting to voucher tenants at the FMR rate, without needing to rely on premium units.
To further analyze the investment potential, consider the median home value in the area, which stands at $249,521. Using the HUD FMR of $1060, we can calculate a monthly rent-to-price ratio of approximately 0.42%. This low ratio suggests that buying homes in this ZIP code could be more advantageous than renting, given the substantial equity buildup over time compared to rental income.
However, since the data does not provide the median days on market (DOM) or the percentage of price cuts, it's difficult to fully assess the rent-versus-buy dynamics. Despite this, the strong cashflow potential from voucher tenants makes ZIP 62693 an attractive option for Section 8 investors looking for steady returns.
The strongest investor angle in this market is cashflow. With the HUD FMR well above the market rent, landlords can secure reliable income from voucher tenants while maintaining a competitive edge in the local rental market.
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.