Location: Mercer County, PA | Metro: Mercer County, PA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $710 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,020 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,600 |
| 5 Bedrooms | $1,856 |
| 6 Bedrooms | $2,079 |
| 7 Bedrooms | $2,245 |
| 8 Bedrooms | $2,357 |
U.S. Census Bureau data (2024)
The classification of ZIP code 16124 hinges on its financial metrics, which include the Fair Market Rent (FMR), median home value, and the percentage of renters. In fiscal year 2024, the FMR for ZIP 16124 is set at $850, which is notably higher than the market rent of $790. This indicates a potential high-yield scenario for rental properties in this area.
The median home value in ZIP 16124 stands at $174,019, suggesting that property acquisition can be relatively affordable compared to other markets. However, the stability of the market must also be considered. With only 17.4% of residents being renters, there's a significant portion of homeowners, which could indicate a less stable tenant pool due to the smaller proportion of renters.
The average income of $55,455 provides insight into the economic stability of the area. This figure suggests that tenants might have sufficient income to cover their rent payments, but the low percentage of renters implies that the demand for rental units could be limited. The lack of data on days on market (DOM) makes it challenging to assess how quickly properties might be rented out, but typically, a higher DOM indicates lower stability in terms of timely occupancy.
Based on these figures, ZIP 16124 appears to be a market with moderate potential for high yields due to the disparity between FMR and market rent. However, the stability is questionable given the low percentage of renters and the unknown DOM metric. This combination places the area somewhere in between a high-yield/low-stability flip-style market and a steady-cashflow zone. Landlords and investors should proceed with caution, considering the need for a robust screening process to ensure timely and consistent cash flow.
To summarize, the high FMR of $850 compared to the market rent of $790 and the relatively low median home value of $174,019 suggest a potentially lucrative rental market. Conversely, the low 17.4% of renters and the average income of $55,455 imply a need for careful management to maintain stability. Therefore, ZIP 16124 is best classified as a moderately high-yield, somewhat unstable market.
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.