Section 8 Fair Market Rent (FMR) for ZIP 62703 - 2027

Location: Springfield, IL | Metro: Springfield, IL MSA

Investment Score for ZIP 62703

A
Monthly Rent (2BR)
$1,260
Median Price (2BR)
$89,474
1% Rule
1.41%
Annual Yield
16.9%

Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)

FY 2027 Fair Market Rent Rates

Unit Size Monthly FMR
Studio$880
1 Bedroom$1,000
2 Bedrooms$1,260
3 Bedrooms$1,660
4 Bedrooms$1,760
5 Bedrooms$2,042
6 Bedrooms$2,287
7 Bedrooms$2,470
8 Bedrooms$2,594

Investment Analysis by Bedroom Size

Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)

Bedrooms Monthly FMR Median Price 1% Rule Grade
2BR $1,260 $89,474 1.41% A
3BR $1,660 $144,280 1.15% B

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

Population
28,922
Median Household Income
$45,009
Housing Units
14,497
Renter Percentage
42.5%
Occupancy Rate
85.0%
Renter Occupied
5,240

The ZIP code 62703 in Springfield, IL, is characterized by a significant portion of renters, making up 42.5% of the population. This indicates that it is indeed a renter-heavy area with a notable demand for rental properties, including those that accept Section 8 vouchers. The median household income in this area is $45,009, which provides a basis for understanding the affordability of housing.

The market rent in ZIP 62703 is currently set at $1,160 per month. This represents approximately 25.7% of the median household income, suggesting that a substantial portion of local residents' income is allocated towards rent. For context, the Fair Market Rent (FMR) for the area, as determined by HUD for FY 2024, is $1,040. This means that market rents exceed the FMR by about $120, indicating a slightly higher cost of living compared to the government's benchmark.

In such a scenario, landlords can expect a tenant pool that includes many individuals and families who rely on Section 8 vouchers to afford their housing. These tenants will likely be seeking properties that offer the stability and security of long-term residency, while also adhering to the financial constraints imposed by their voucher amounts. It is important for landlords to be aware that they may need to adjust their expectations regarding rent levels, especially if they wish to attract tenants who qualify for the Section 8 program.

A landlord in ZIP 62703 should anticipate working with tenants who have a strong need for affordable housing options. These tenants will typically have a household income below the median, often relying on assistance programs to manage their housing costs. Landlords should be prepared to navigate the requirements and regulations associated with accepting Section 8 vouchers, which can include regular inspections and rent increases tied to the FMR adjustments.

Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.