Location: Pittsburgh, PA | Metro: Pittsburgh, PA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $840 |
| 1 Bedroom | $890 |
| 2 Bedrooms | $1,080 |
| 3 Bedrooms | $1,380 |
| 4 Bedrooms | $1,500 |
| 5 Bedrooms | $1,740 |
| 6 Bedrooms | $1,949 |
| 7 Bedrooms | $2,105 |
| 8 Bedrooms | $2,210 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,080 | $150,160 | 0.72% | D |
| 3BR | $1,380 | $188,074 | 0.73% | D |
U.S. Census Bureau data (2024)
To integrate ZIP 15627 into a Section 8 portfolio strategy, focus on it as a cash-flow anchor. The Federal Market Rent (FMR) for ZIP 15627 in fiscal year 2024 is set at $920, which is significantly higher than the market rent of $800. This $120 spread per unit offers a consistent, above-market rental income stream that can stabilize a portfolio's cash flow.
The median home value in ZIP 15627 stands at $156,744, indicating that the area is moderately priced compared to other regions in the HUD Metro FMR Area around New Derry, PA. This makes it attractive for first-time homeowners and long-term renters who might be priced out of more expensive areas, thus ensuring a steady demand for rental properties.
The high FMR rate in ZIP 15627 is particularly beneficial for landlords participating in the Section 8 program. They can rely on the government subsidy to cover the above-market rents, effectively turning a profit that exceeds typical market conditions. This is crucial for maintaining positive cash flow, especially when dealing with the administrative aspects of managing Section 8 units, such as inspections and compliance.
ZIP 15627 does not present itself as an appreciation play due to the lack of significant price growth trends. The Days on Market (DOM) and price-cut share percentages are not provided, suggesting that there isn't enough data to support rapid property value increases. Instead, the stability of the area's rental market and the guaranteed income from the Section 8 program make it a reliable asset for generating consistent returns.
While ZIP 15627 has a renter share of 22.9%, this figure alone does not qualify it as a primary diversification tool. However, the median income of $59,398 suggests that residents have sufficient financial means to support rental payments, even if they do not represent a broad spectrum of income levels that would be necessary for true diversification. For diversification purposes, a landlord might consider including ZIP 15627 alongside other areas with different economic profiles to balance their portfolio.
In summary, ZIP 15627 serves best as a cash-flow anchor within a Section 8 portfolio strategy. The above-market FMR rates ensure steady income, while the moderate home values indicate a stable demand for rentals. Landlords should leverage this to secure predictable cash flows and mitigate risks associated with volatile markets.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). 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.