Location: Pittsburgh, PA | Metro: Pittsburgh, PA HUD Metro FMR Area
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,180 |
| 1 Bedroom | $1,250 |
| 2 Bedrooms | $1,520 |
| 3 Bedrooms | $1,940 |
| 4 Bedrooms | $2,110 |
| 5 Bedrooms | $2,448 |
| 6 Bedrooms | $2,742 |
| 7 Bedrooms | $2,961 |
| 8 Bedrooms | $3,109 |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1230 for ZIP 15282 in fiscal year 2024 will sufficiently cover the mortgage on a typical home in this area. The average home price in ZIP 15282 is $200,958, according to recent real estate data. Assuming a standard mortgage rate and down payment, the monthly mortgage payment would likely be lower than the FMR, indicating that the rent can indeed cover the mortgage.
The next concern could be the demand for rental properties at the specified rate. With a population of 5,814, there is a notable need for housing in ZIP 15282. However, the exact vacancy rate is not available, making it challenging to determine if the demand matches the supply. Given the limited information, it's advisable to consult local real estate agents or rental management companies for precise occupancy rates and tenant preferences.
Another objection might revolve around whether housing vouchers will keep pace with the market rents. In ZIP 15282, the median rent is $995, which is below the FMR. While this suggests that vouchers could potentially cover the cost of renting, the specific utilization rate of vouchers in this ZIP code is not provided. To ensure that vouchers align with market conditions, investors should monitor local government announcements and updates regarding voucher allocations and adjustments.
To summarize, while the FMR of $1230 is likely to cover the mortgage on a home priced at $200,958, the demand at this rate remains uncertain without specific vacancy data. Lastly, the effectiveness of housing vouchers in meeting market rents requires ongoing attention to local policy changes and economic conditions.
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.