Location: Pittsburgh, PA | Metro: Pittsburgh, PA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $800 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,030 |
| 3 Bedrooms | $1,320 |
| 4 Bedrooms | $1,430 |
| 5 Bedrooms | $1,659 |
| 6 Bedrooms | $1,858 |
| 7 Bedrooms | $2,007 |
| 8 Bedrooms | $2,107 |
U.S. Census Bureau data (2024)
The analysis of ZIP code 15083 within the Pittsburgh, PA HUD Metro FMR Area reveals mixed outcomes for potential investments. First, examining the rent math, the Federal Market Rent (FMR) at $1180 for FY 2024 significantly exceeds the current market rent of $806 based on Census ACS data. This disparity suggests that properties aiming to participate in the Section 8 program would need to adjust their expectations or pricing strategies to align with the lower market rents.
Regarding the affordability of acquisitions, the median home value stands at $137,502. However, without specific data on the number of days on market (DOM) and the percentage of homes that required price cuts to sell, it's challenging to provide a definitive assessment. The median home value indicates a relatively low barrier to entry, but the lack of DOM and price-cut information hinders a complete evaluation of the acquisition process.
The tenant demand analysis shows a population of 913 individuals, with 11.2% being renters. This small renter base means that landlords must be prepared for limited demand and possibly face competition for tenants. Additionally, the small size of the zip code could impact the pool of eligible Section 8 participants, potentially reducing the number of viable tenants.
In summary, while the median home value makes acquisition relatively affordable, the mismatch between FMR and market rent poses a challenge for profitability. The limited tenant demand further complicates the investment potential. Landlords should proceed with caution, carefully assessing local competition and tenant eligibility before committing to this area.
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.