Location: Pittsburgh, PA | Metro: Pittsburgh, PA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $890 |
| 1 Bedroom | $950 |
| 2 Bedrooms | $1,150 |
| 3 Bedrooms | $1,470 |
| 4 Bedrooms | $1,600 |
| 5 Bedrooms | $1,856 |
| 6 Bedrooms | $2,079 |
| 7 Bedrooms | $2,245 |
| 8 Bedrooms | $2,357 |
U.S. Census Bureau data (2024)
The ZIP code 15087 presents several potential pitfalls for landlords and small-portfolio investors considering Section 8 investments. One significant risk is tenant turnover. The Fair Market Rent (FMR) for ZIP 15087 in fiscal year 2024 is set at $1020, which is lower than the typical market rent. This discrepancy can lead to higher turnover rates as tenants may struggle to meet the higher market rents when their vouchers only cover the FMR.
Vacancy exposure is another concern. With no data available on the average days on market (DOM), it's difficult to predict how long a property might remain vacant between tenants. This uncertainty can impact cash flow and necessitate contingency planning for periods without rental income.
Deferred maintenance is also a risk factor. Without specific figures on typical home values and median incomes, it's challenging to gauge the financial health of potential tenants and their ability to contribute to maintenance costs. However, the lack of detailed data suggests that there may be homes in need of repair, which could require additional investment from landlords.
Despite these risks, the high renter share of 16.7% in ZIP 15087 indicates a robust demand for rental properties, including those that accept Section 8 vouchers. This dense population of renters often translates into a steady pool of voucher holders looking for housing, potentially reducing the time a property remains vacant.
Verdict: Moderate risk for a first-time Section 8 landlord.
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.