Section 8 Fair Market Rent (FMR) for ZIP 15676 - 2027

FY 2027 Fair Market Rent Rates

Demographics & Housing Statistics

U.S. Census Bureau data (2024)

To determine if a landlord should buy in ZIP code 15676 for Section 8 purposes, follow this decision tree based on the available data:

1) Does FMR $1020 (zip FY 2024) clear debt service on a property?

• No: If the Fair Market Rent (FMR) of $1020 does not cover the debt service on a property, purchasing for Section 8 is not advisable. Debt service includes mortgage payments, property taxes, insurance, and other fixed costs. Without a clear understanding of the property's cost structure, it's impossible to proceed further.
• Yes: If the FMR of $1020 can cover the debt service on a property, move to the next question.

2) Is market rent above, at, or below FMR?

• Above: If the market rent is higher than the FMR, landlords will likely prefer market-rate tenants over Section 8. This means that Section 8 properties might be harder to fill, leading to potential vacancies.
• At: If the market rent equals the FMR, landlords are indifferent between market-rate and Section 8 tenants. However, the competition for Section 8 vouchers can still affect occupancy rates.
• Below: If the market rent is below the FMR, landlords might find Section 8 attractive as it guarantees a stable income at or near the FMR level.

3) Are 17.3% renters + N/A-day DOM enough demand?

• It depends: The percentage of renters (17.3%) and the days on market (DOM) for rental properties are key indicators of demand. If the DOM is low, indicating quick turnover and high demand, then even a relatively small percentage of renters could support Section 8 units. Conversely, if the DOM is high, suggesting slow turnover and low demand, the percentage of renters alone would not justify the investment in Section 8 properties.

In summary, for ZIP 15676, the decision to invest in Section 8 properties hinges on whether the FMR of $1020 covers the debt service, the comparison between market rent and FMR, and the balance of rental demand indicated by the percentage of renters and DOM. Landlords must assess these factors carefully to make an informed decision.

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.