Location: Saline County, IL | Metro: Saline County, IL
| Unit Size | Monthly FMR |
|---|---|
| Studio | $650 |
| 1 Bedroom | $760 |
| 2 Bedrooms | $930 |
| 3 Bedrooms | $1,200 |
| 4 Bedrooms | $1,310 |
| 5 Bedrooms | $1,520 |
| 6 Bedrooms | $1,702 |
| 7 Bedrooms | $1,838 |
| 8 Bedrooms | $1,930 |
U.S. Census Bureau data (2024)
The investment risk assessment for ZIP code 62965 reveals several potential issues that landlords and small-portfolio investors should be aware of before entering into Section 8 housing programs. Firstly, tenant turnover poses a significant challenge. The market rent in this area stands at $531, which is notably lower than the Fair Market Rent (FMR) of $920 for FY 2026, indicating a higher likelihood of tenants seeking better deals elsewhere, thus increasing turnover rates.
Vacancy exposure is another critical concern. With the days on market (DOM) being N/A, it suggests an incomplete dataset, making it difficult to predict how long properties might remain vacant between tenancies. This uncertainty can lead to financial strain, especially when considering the time and resources needed to secure new tenants.
The deferred maintenance exposure is also problematic. Given that the typical home value and median income are both listed as N/A, there is insufficient data to assess the ability of residents to maintain homes adequately or the overall condition of the properties. This lack of information makes it challenging to estimate repair costs and the potential impact on property values over time.
However, these risks must be weighed against the high renter share of 31.4%, which is significantly above the national average. A high concentration of renters often translates into a robust demand for rental housing, including those utilizing Section 8 vouchers. This demand can stabilize occupancy rates and provide a steady stream of tenants, even if they are subsidized.
In conclusion, despite the challenges posed by tenant turnover, vacancy exposure, and deferred maintenance, the high renter density in ZIP 62965 presents a favorable environment for Section 8 investments. However, the incomplete data regarding home values and median income introduces additional unpredictability. Therefore, the overall risk for a first-time Section 8 landlord in this ZIP code is moderate.
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.