Location: Greene County, PA | Metro: Greene County, PA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $870 |
| 1 Bedroom | $880 |
| 2 Bedrooms | $1,140 |
| 3 Bedrooms | $1,370 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
U.S. Census Bureau data (2024)
A skeptical investor looking into ZIP code 15344 might have several concerns regarding the viability of investing in properties there, especially considering the intricacies of the Section 8 program. Let's address these concerns head-on.
Will FMR $1,090 (metro FY 2026) cover the mortgage on a $164,519 home?
The Fair Market Rent (FMR) for ZIP 15344 is projected to be $1,090 per month in fiscal year 2026. To determine if this will sufficiently cover the mortgage on a home priced at $164,519, we must consider typical mortgage rates and terms. Assuming a 30-year fixed-rate mortgage at an average rate of 5%, the monthly payment on such a loan would be approximately $860. This means that the FMR of $1,090 is sufficient to cover the mortgage payment, leaving a buffer of around $230 per month. However, it's important to note that this calculation does not include property taxes, insurance, maintenance costs, and other expenses that come with owning a rental property.
Is there enough renter demand at 7.6%?
The rental vacancy rate in ZIP 15344 stands at 7.6%. This percentage suggests a moderate level of demand for rental properties. A lower vacancy rate typically indicates higher demand, but a 7.6% rate is not alarming. It is crucial to compare this figure with the broader market trends and the historical vacancy rates of the area to gauge whether this level of demand is sustainable. The data provided does not offer a complete picture of the rental market dynamics, so further research into local economic conditions and tenant demographics would be advisable.
Will vouchers keep pace with $655 market rents?
The average market rent in ZIP 15344 is $655. Given that the FMR is set higher at $1,090, landlords participating in the Section 8 program can expect to receive a subsidy that bridges the gap between the voucher amount and the FMR. While the exact voucher amount isn't specified, the trend has been for the Housing Choice Voucher program to adjust its payments to align with the FMR. Therefore, it is reasonable to anticipate that the voucher amounts will increase to match the FMR, thereby covering the difference above the market rent of $655. This adjustment ensures that landlords are not left with a shortfall when renting to tenants with vouchers.
Investing in ZIP 15344 with the intent to participate in the Section 8 program requires a careful assessment of all associated costs and benefits. The data points to a manageable scenario where FMRs are likely to support mortgage payments, and voucher adjustments should align with market rents. However, the moderate rental vacancy rate calls for diligence in understanding the local rental market and tenant preferences.
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.