Location: Venango County, PA | Metro: Clarion County, PA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $730 |
| 1 Bedroom | $780 |
| 2 Bedrooms | $1,010 |
| 3 Bedrooms | $1,260 |
| 4 Bedrooms | $1,510 |
| 5 Bedrooms | $1,752 |
| 6 Bedrooms | $1,962 |
| 7 Bedrooms | $2,119 |
| 8 Bedrooms | $2,225 |
U.S. Census Bureau data (2024)
A landlord considering ZIP code 16319 (Cranberry, PA) for a Section 8 investment must navigate several key factors to make an informed decision. Here's a structured approach:
Step 1: Can the Fair Market Rent (FMR) of $970 cover the debt service on a $179,193 property?
No: The FMR of $970 does not clear the debt service on a $179,193 property, which typically includes mortgage payments, insurance, taxes, and maintenance costs. Debt service for such a property could easily exceed $970 per month, especially when considering interest rates and other expenses.
It Depends: This scenario applies if the landlord is looking at properties with lower purchase prices or if they can secure a loan with favorable terms. However, given the average property value, it is unlikely that the FMR will sufficiently cover the debt service.
Yes: Only applicable if the landlord is considering properties significantly below the median value of $179,193 or has access to financing with exceptionally low rates. This would be an unusual case.
Step 2: How does the market rent of $1,036 compare to the FMR?
Above FMR: The market rent of $1,036 is above the FMR of $970. This indicates that landlords might be able to charge more than what is covered under Section 8, but they must balance this against the likelihood of finding tenants willing to pay the higher rent without Section 8 assistance.
At or Below FMR: Not applicable in this case since the market rent exceeds the FMR.
Step 3: Is there sufficient demand with 7.2% renters and an unknown number of days on the market (DOM)?
No: With only 7.2% of residents identified as renters and the lack of data on days on the market (DOM), the demand for rental properties in Cranberry, PA, appears insufficient to support a Section 8 investment. A higher percentage of renters and a shorter DOM would indicate a stronger market for rentals.
It Depends: This scenario arises if the landlord can identify a niche or demographic within the 7.2% of renters that is underserved and likely to benefit from Section 8 housing. Additionally, if the local rental market shows signs of growth or if there are government programs encouraging rental development, then the demand could be higher than initially suggested by the statistics.
Yes: Not applicable given the limited data on renters and the absence of DOM information.
In conclusion, based on the available data, a landlord seeking to invest in ZIP 16319 for Section 8 should carefully consider the financial viability of their investment. The FMR is unlikely to cover debt service on a typical property, and the demand for rental properties seems low. Further investigation into the local rental market trends and tenant demographics is recommended before making a final 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.