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 | $750 |
| 1 Bedroom | $850 |
| 2 Bedrooms | $1,080 |
| 3 Bedrooms | $1,500 |
| 4 Bedrooms | $1,700 |
| 5 Bedrooms | $1,972 |
| 6 Bedrooms | $2,209 |
| 7 Bedrooms | $2,386 |
| 8 Bedrooms | $2,505 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,080 | $181,767 | 0.59% | F |
| 3BR | $1,500 | $226,904 | 0.66% | D |
| 4BR | $1,700 | $372,860 | 0.46% | F |
U.S. Census Bureau data (2024)
The Fair Market Rent (FMR) for ZIP code 16148, which includes Hermitage, PA, is set at $930 for fiscal year 2024. This figure represents the payment standard used by the U.S. Department of Housing and Urban Development (HUD) for the Section 8 Housing Choice Voucher program. It's important to note that this is not the amount tenants will pay in rent; it's the maximum amount HUD will reimburse landlords for renting a unit.
To put this into context, the average rent for a two-bedroom apartment in the same area, according to the Census Bureau's American Community Survey (ACS), is $899. This indicates that the FMR is slightly above the local average, which can be beneficial for landlords participating in the Section 8 program.
The FMR is also indicative of the rental market demand. With 29.1% of residents being renters, there is a substantial portion of the population looking for affordable housing options. This suggests a steady demand for rental properties, especially those that qualify under the Section 8 program.
When considering acquiring a property for a Section 8 rental, the typical home value in Hermitage, PA, stands at $213,335. This can help you determine if the potential income from the Section 8 program justifies the investment. The key here is understanding that while your reimbursement will be capped at the FMR, you can still leverage the demand for affordable housing to secure long-term tenants.
Before you proceed with your first Section 8 rental, it is crucial to verify that the property meets all the necessary quality standards set by HUD. These include basic health and safety requirements such as proper plumbing, electrical systems, and structural integrity. Ensuring compliance with these standards upfront will prevent any delays in receiving payments and ensure a smooth start to your rental venture.
In summary, the FMR of $930 offers a clear benchmark for what you can expect in reimbursement from HUD. Given the local average rent of $899 and the 29.1% renter share, the demand for affordable housing is evident. A typical home value of $213,335 gives you a sense of the investment required. However, the most critical step is confirming that your property meets HUD’s quality standards to avoid any issues once you begin renting through the Section 8 program.
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.