Location: Springfield, IL | Metro: Springfield, IL MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $820 |
| 1 Bedroom | $930 |
| 2 Bedrooms | $1,180 |
| 3 Bedrooms | $1,560 |
| 4 Bedrooms | $1,650 |
| 5 Bedrooms | $1,914 |
| 6 Bedrooms | $2,144 |
| 7 Bedrooms | $2,316 |
| 8 Bedrooms | $2,432 |
U.S. Census Bureau data (2024)
The ZIP code 62707, located within the Springfield, IL Metropolitan Statistical Area (MSA), exhibits several characteristics that distinguish it from typical ZIP codes in the same MSA. The Fair Market Rent (FMR) for ZIP 62707 in fiscal year 2024 is set at $1050, which is higher than the market rent of $953. This indicates that while government-subsidized rents are slightly elevated, the actual rental market in this area is somewhat lower, suggesting a potential value pocket for investors looking to attract tenants eligible for Section 8 subsidies.
Comparatively, the median home value in ZIP 62707 stands at $226,318. This figure is likely reflective of the overall housing market conditions in the Springfield, IL MSA but does not necessarily indicate whether the area is considered a value pocket, a mid-tier neighborhood, or a premium sub-market. To make an informed inference, one would need to know the average home values across all ZIP codes within the Springfield, IL MSA. However, given that the median home value is not exceptionally high, it suggests that 62707 may be a mid-tier neighborhood in terms of property values.
The renter share of 12.9% in ZIP 62707 diverges from the typical pattern observed in many metropolitan areas where higher renter shares often correlate with lower home values. In ZIP 62707, despite the relatively modest renter share, the home values are not particularly low. This combination could signal that the area is neither a prime target for Section 8 properties nor a premium sub-market, but rather a middle-ground where both homeownership and renting coexist without significant skew towards either.
To conclude, based on the provided figures, ZIP 62707 appears to be a mid-tier neighborhood within the Springfield, IL MSA. Its FMR slightly above market rent and median home value suggest a balanced market condition suitable for landlords and small-portfolio investors who wish to avoid the extremes of value pockets and premium sub-markets.
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.