Location: Mercer County, PA | Metro: Mercer County, PA
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 | $760 |
| 1 Bedroom | $860 |
| 2 Bedrooms | $1,090 |
| 3 Bedrooms | $1,510 |
| 4 Bedrooms | $1,710 |
| 5 Bedrooms | $1,984 |
| 6 Bedrooms | $2,222 |
| 7 Bedrooms | $2,400 |
| 8 Bedrooms | $2,520 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,510 | $87,513 | 1.73% | A+ |
U.S. Census Bureau data (2024)
In ZIP code 16121, the economics of Section 8 housing are closely tied to the SAFMR (Small Area Fair Market Rent) established by HUD. For a two-bedroom apartment in this ZIP code, the SAFMR for fiscal year 2024 is set at $900. This figure represents the maximum amount that the government will reimburse landlords for a Section 8 rental subsidy.
The local market rent for a two-bedroom unit, according to the latest Census ACS data, is $902. This indicates that the SAFMR is very close to the actual market rates in ZIP 16121, which is beneficial for both tenants and landlords.
When a tenant uses a Section 8 voucher, they are responsible for paying a portion of the rent, typically around 30% of their income, plus any utility allowances. The voucher then covers the remaining balance up to the SAFMR limit. For instance, if a tenant's income is such that their share amounts to $270 (assuming a 30% contribution), and the utility allowance is $150, the total reimbursement to the landlord would be $420 ($270 + $150).
This means that the landlord receives $420 from the tenant and the voucher program combined, but the overall reimbursement cannot exceed the SAFMR of $900. Therefore, the landlord must ensure that the total rent charged to the tenant plus the utility allowance does not exceed this limit to avoid any financial loss.
Given the local market rent of $902, landlords should understand that the actual reimbursement for a two-bedroom apartment will fall short of the market rate. If the landlord charges $902, and the tenant's portion plus utility allowance totals $420, the voucher will cover only up to $900, leaving a reimbursement gap of $2 per unit. This small discrepancy can be managed by adjusting the rent slightly lower to match the SAFMR or by accepting the minor shortfall.
To summarize, the typical reimbursement for a two-bedroom apartment in ZIP 16121 under Section 8 will result in a slight surplus of $2 for landlords who align their rents with the SAFMR, or a minor gap for those who charge closer to the local market rate of $902. Landlords should carefully consider these factors when deciding whether to accept Section 8 tenants.
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.