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 | $710 |
| 1 Bedroom | $800 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,410 |
| 4 Bedrooms | $1,600 |
| 5 Bedrooms | $1,856 |
| 6 Bedrooms | $2,079 |
| 7 Bedrooms | $2,245 |
| 8 Bedrooms | $2,357 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 3BR | $1,410 | $246,388 | 0.57% | F |
U.S. Census Bureau data (2024)
The ZIP code 16154 presents an interesting scenario for both renters and landlords. The median income in this area stands at $57,870, which is significantly higher than the market rate rent of $521 per month based on Census ACS data. This suggests that renters in this area have a reasonable ability to pay their monthly rent without facing significant financial strain.
However, when comparing the market rate rent to the Fair Market Rent (FMR) set by HUD at $890 per month for ZIP 16154 in fiscal year 2024, it becomes evident that there is a substantial gap between what the market demands and what the government deems fair. This discrepancy highlights the challenge renters face in finding affordable housing that meets the voucher payment standards.
The ZIP code has a relatively low percentage of renters at 3.4%, indicating a smaller pool of potential tenants. With a total population of 2,539, landlords might find themselves competing for a limited number of renters who can afford the market rate. This competition could be further intensified among those landlords willing to accept Section 8 vouchers, given the disparity between the market rate and the voucher payment.
For landlords considering whether to adopt a voucher-friendly strategy or focus on cash-paying tenants, the key takeaway is clear. While accepting vouchers can provide a steady stream of rental income, it comes with the caveat of lower payments compared to the market rate. On the other hand, focusing on cash-paying tenants means competing in a tight market where only a portion of the population is actively seeking rental housing. Landlords must weigh the benefits of long-term stability against the potential for higher immediate returns.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). 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.