Grundy County, IL — Rental Investment Analysis
🟢GOOD— solid returnsData: HUD FMR FY2024 + Zillow ZHVI April 2026 + Freddie Mac rates. Last updated June 2026.
Investment Summary
As of 2026, Grundy County, IL offers a 6.1% cap rate with median home prices of $231,667 and 3-bedroom rents of $1,840/month.
Grundy County offers solid returns for rental investors. At $231,667 median home price, Grundy County is affordable by national standards and within reach for most conventional loans. With 3-bedroom rents around $1,840/month, the 6.1% cap rate tells the story. At current prices and rates, expect to lose about $52/month — negative cash flow unless you put more down or find below-market deals.
The 1% rule comes in at 0.80% — doesn't quite pass, but close enough to find individual deals that work. DSCR of 0.96 is below 1.0, meaning rental income doesn't cover the mortgage. DSCR lenders will likely decline this market at current prices.
Bottom line: Grundy County offers a balance of moderate cash flow and growth potential. Good for investors who want some income while building equity over time.
Data sources: HUD Fair Market Rents (FY2024), Zillow Home Value Index (April 2026), Freddie Mac Primary Mortgage Market Survey.
Cap Rate
6.1%
Above average
Monthly Cash Flow
-$52
After all expenses
Price-to-Rent
10.6
Investor-friendly
DSCR
0.96
Fails
Key Metrics
- Median Home Price
- $231,667
- Average Rent (3BR)
- $1,840/mo
- Price-to-Rent Ratio
- 10.6(good)
- 1% Rule
- 0.80%(fails — need 1%+)
- Cash-on-Cash Return
- -1.1%
- Vacancy Rate
- 8.0%
Market Strength
- Unemployment Rate
- 5.1%(+0.8% vs national)
- Rent Growth (YoY)
- +2.9%(national avg)
- Population Growth
- -1.65% YoY
Property Tax Rate
2.08%
of assessed value (IL avg)
Median Income
$72,205
household (IL avg)
Rent-to-Income
30.6%
Moderate
Section 8 Max Rent
$1,840/mo
3BR voucher payment
IL Investor Climate
Landlord Friendly
5/10
State Income Tax
Has state tax
Property Tax
2.08% effective
Population Trend
-1.65% (3yr)